The combination of ongoing seller discounting, healthy rental income growth and longer term capital gains means that investors could benefit from the current market conditions.
Broker Mortgage Choice reckon that today’s market conditions favour property investors - and that some investors are already taking the plunge, with ABS figures for housing finance showing that the number of fixed-interest loans for investment purposes grew by 2.1% in March.
"The latest data suggests greater movement from investors taking advantage of subdued market competition and housing price reductions," said Mortgage Choice spokesperson Kristy Sheppard.
"There are many more properties on the market than usual and less buyers to purchase them. Australians who are ready financially and keen to crack the market or build on their portfolio may find that some solid hard work sees them snap up opportune purchases while demand is low."
Sheppard added that the long term view is good too, thanks to Australia's healthy population growth, wage growth and low rental vacancy rates.
"Rents are rising at a faster pace this year while property values have steadied or dropped in many areas, so rental yields are on the increase," added Sheppard. "This all bodes well for people who research the market thoroughly, have a long-term strategy and are informed about their finance options."
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now
Top Suburbs :
Get help financing your investment
Do you need help finding the right loan for your investment?
When investing in property, it is important to make sure that you not only have the lowest available rate that you can get, but also have the correct loan features for your needs.
Just fill in a few details below and we'll then arrange for a local expert Aussie Mortgage Broker to contact you and work out what features or types of loans are right for your needs. We'll even help with the paperwork. Plus, our mortgage broking service is at no cost to you.
We value your privacy and treat all your information seriously - you can check out