With Australia’s property market proving its strength and resilience on the world stage in recent times, it’s understandable that investors around the globe are starting to sit up and take notice of real estate here in the Lucky Country.
Riding out the economic turmoil of the Global Financial Crisis, our capital city housing values outperformed all other developed markets in the world. And while the US was sustaining a bone crunching 30% drop in property prices, here at home we escaped the economic fallout relatively unscathed and even saw significant price growth in the housing sector.
A recent report published in the The Sydney Morning Herald, quotes global capital flows research from Jones Lang LaSalle to confirm that Australia was ranked seventh in the world as a destination for cross-border investment in the first half of this year.Locally, cross-border investment increased more than five-fold from the same time last year, to $US1.8 billion, putting us behind Britain – ranked number one – with $US7 billion worth of cross-border investment to date in 2010. Germany replaced America as the second most popular investment destination, leaving the US in third place.
Interestingly, the report claims that not only are overseas investors snapping up direct assets, but they are also buying into Australian real estate trusts.
Director of international investments at Jones Lang LaSalle in Australia, Simon Storry said, ”We expect Australia to continue to be on the radar of foreign investors for the remainder of this year.”
”Commercial real estate in Australia has offered solid and stable returns and an attractive environment for investors seeking stability in their globally diverse portfolios.”
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