The goal of any investor is to buy real estate for cheap and sell it for more. Experts will tell you where you can buy real estate with a high ROI and how you can increase the profitability of your investment.
Investing in real estate is one of the oldest and most profitable types of investment. Due to the variety of real estate in Australia, there is enough for every investor to have a piece of the pie. However, to get the rewards you want, you will not only have to spend money, but also pay attention to where and what kind of property you want to buy.
Is it a good time to buy a home?
The Australian real estate market has always been one of the most stable and reliable. According to CoreLogic experts, over the past 25 years, the average national house price has increased by 412%, which indicates the constant and steady development of this market. If this trend continues, the average price of a house in Australia could reach USD 2.9 million by 2043.
Such dynamics make real estate investment an attractive choice for those looking for reliable assets with the potential for long-term value growth.
Top locations for buying real estate in Australia: Where to make a deal?
All locations on the list were chosen based on statistical data collected by Dijones specialists. You can also become the owner of real estate in another location, but to earn more you will need a swimming pool. In fact, swimming pools for their treatment can greatly affect the price. You can buy a property in a great neighborhood, build a pool there, and get the most out of it. But, let's first see which locations will potentially bring you good money:
Sydney
Sydney has always been an attractive market for investors due to its status as a global financial center. The suburbs near the central business district and on the waterfront are particularly well positioned for high capital gains, although they are also characterized by high prices. After a sharp spike in housing prices during the pandemic, prices stabilized in early 2023 and have now begun to recover, showing an increase of 8.8% over the year.
Melbourne
Melbourne remains attractive to investors due to its dynamic lifestyle and steady growth. The most promising suburbs here are usually located near developed medical and educational institutions, which stimulates demand for housing. Although real estate price growth slowed to 3% in 2024, market stability makes Melbourne a good choice for long-term investment.
Brisbane
Brisbane's real estate market continues to attract investors due to its relatively lower housing prices, especially compared to cities such as Melbourne and Sydney. During the pandemic, Brisbane showed significant growth, which is still being maintained. However, it is worth being careful: not all suburbs of the city have shown equal success in recent years. Given that the annual CoreLogic house price index for September 2024 showed an increase of 14.2%, Brisbane remains an attractive option for those looking for investment opportunities in Australian real estate.
The upward trend in Australian real estate prices attracts thousands of investors from around the world, and locations such as Sydney, Melbourne, and Brisbane are particularly interesting for players looking to increase their ROI.
If you are not ready to compete with large investors, you can always look at other locations and increase their profitability, for example, due to the swimming pool. How does it work? It's time to tell you.
How swimming pools make real estate profitable
A swimming pool is not only a nice addition to your property, but also a powerful asset that can increase the value of your home by an average of 30%. Naturally, every investor wants to get the most out of their investment, but they often overlook the associated costs. Annual maintenance costs, including service bills and pump rentals, can be significant. However, it is possible to save on electricity bills with streamline pumps with solar panels. Nevertheless, these are additional hassles that newcomers may not be aware of, and realtors may simply not mention.
You're probably wondering if it makes sense for an investor to spend money on a swimming pool given all the complexities. Well, I have something to tell you:
Increase in value
Installing a pool not only increases the comfort of your home, but also increases its value. Usually, investments in the construction of a pool pay off in full - $50,000 spent increases the value of real estate by the same amount. However, it's hard to predict how much more the price may increase due to the growing popularity of swimming pools. According to Roy Morgan, 300,000 more Australians have built pools since 2018, and the term “pool” remains one of the most popular on real estate websites.
Number of potential buyers and clients
Adding a pool in your backyard can be a decisive factor in attracting more buyers, even if you live just 20 minutes from the coast. Ray White auction data shows that properties with pools receive more interest, creating stronger competition among buyers.
Matching the level
This reason is not about profit, but about the absence of unexpected losses. If the neighborhood where you want to buy real estate has all the houses with swimming pools, and your plot does not have one, we have bad news for you.
In order not to lose the opportunity to make money on this property, you will have to make a pool, because otherwise you will have to reduce the price.
So, investing in a swimming pool is not just an expense, but a strategic move that can significantly increase the attractiveness and value of your property. In a world where comfort and aesthetics are becoming increasingly important, swimming pools are becoming an important asset for owners. They create a desirable lifestyle, attract more buyers, and help you stay competitive in the market. So if you want to not only enjoy your summer vacation, but also make a profitable investment, consider installing a pool.