It’s not too late to invest in this property cycle and Melbourne is likely to deliver the best capital growth over the next five years.
These are some of the findings from Australia’s largest survey of residential property investors conducted of readers of my Property Update newsletter and Kevin Turner’s Real Estate Talk in December 2016.
The survey gathered insights from 1,322 property investors and budding investors, with more than half of these planning to buy an investment property in 2017.
However, 31% of respondents thought that difficulty getting finance would be a stumbling block for them in the coming year and 27% were concerned about the economy and the future of our property markets.
Despite the many mixed messages in the media, and well over four years of strong capital growth, particularly in Melbourne and Sydney, 54% believe it’s still a good time to invest with the majority of the investors feeling that a detached home in the Melbourne or Brisbane property markets will deliver the strongest capital growth over the next five years.
2016 Property Investor Survey – Key Stats at a Glance
- There were 1,322 respondents
- 84% owned one or more investment properties, with 47% owning more than 3 properties
- Long-term capital growth is the preferred investment strategy for 60% of the respondents
- 37% of investors have a negatively geared property portfolio
- 52% of the respondents were planning to buy an investment property in 2017 while only 14% were to buy a new home.
- However differently getting finance was likely to be an obstacle for 31% of investors looking to buy a property in 2017.
- The booming Sydney property market is still popular with 35% of respondents thinking Sydney would deliver the best capital growth over the next five years, however Melbourne was the most popular location for consistent capital growth (50%), followed by Brisbane (44%)
- The overwhelming majority of respondents (56%) felt a detached home in a suburban block of land in an inner or middle ring capital city suburb would make the best investment over the next five years, with less than 1% of investors looking to buy an off the plan property.
- 41% of respondents thought the Australian property markets would rise less than 5% in 2017 while 20% thought property values would remain steady throughout the coming year.
- 44% of respondents thought it was a good time to fix interest rates
LEARNING WHAT TO DO IS AS IMPORTANT AS LEARNING WHAT NOT TO DO
If you’re looking for independent property investment advice, no one can help you quite like the independent property investment strategists at Metropole.
Remember the multi award winning team of property investment strategists at Metropole have no properties to sell, so their advice is unbiased.
Whether you are a beginner or a seasoned property investor, we would love to help you formulate an investment strategy or do a review of your existing portfolio, and help you take your property investment to the next level.
Please click here to organise a time for a chat.
Or call us on 1300 20 30 30.
When you attend our offices in Melbourne, Sydney or Brisbane you will receive a free copy of my latest 2 x DVD program Building Wealth through Property Investment in the new Economy valued at $49.
Subscribe & don’t miss a single episode of Michael Yardney’s podcast
Hear Michael & a select panel of guest experts discuss property investment, success & money related topics. Subscribe now, whether you're on an Apple or Android handset.
Need help listening to Michael Yardney’s podcast from your phone or tablet?
We have created easy to follow instructions for you whether you're on iPhone / iPad or an Android device.
Prefer to subscribe via email?
Join Michael Yardney's inner circle of daily subscribers and get into the head of Australia's best property investment advisor and a wide team of leading property researchers and commentators.