In this week’s two minute property investment news video I focus on why property is more affordable than ever.
Property might be considered expensive but it’s actually more affordable than ever. Affordability for housing is apparently at its best rate in 12 years… according to a HIA-CBA housing affordability index survey.
The survey says affordability is the best it’s been in a long time.. mainly due to the low interest rates and rising incomes at the moment. I think a lot of homebuyers trying to enter the market right now would find this pretty hard to believe…. But nevertheless it’s a good time to buy if you can.
But we’re being warned to prepare for interest rate rises down the track. investors are being advised to consider locking in and also make sure they structure their loan correctly.
Smartline says most people consider whether they have secured a ‘good’ home loan based on their interest rate, along with what sort of interest rate their friends and family might be paying.
Fixing part of a loan might provide some sort of assurance down the track, cross-collateralising properties or going with one lender for all properties might also stop you from getting another loan.