Conditions for investing in property are becoming increasingly attractive as lower mortgage interest rates and high rental yields multiply Australia’s positive cash flow opportunities.
This is according to Smartline executive director Joe Sirianni who points to record low interest rates and some of the best rental yields seen for years as evidence that property investors are enjoying a ‘perfect storm’.
Sirianni said that one lender, for example, is offering a three year fixed rate for 4.99% p.a. (the lowest fixed rate for the last 20 years). This is as a recent rental report by Australian Property Monitors shows that rental yields for units lie between 5.19% and 6.22% in six of Australia’s capital cities, while yields for houses exceed 5.20% in four capitals.
“These kinds of figures are a rare treat for property investors, particularly in a capital city,” Sirianni said.
“With interest rates at low levels, strong rents, low vacancy rates and a shortage of rental properties in some areas, there’s a lot for property investors to be excited about.”
Sirianni added that conditions should continue to be good for investors across 2013, although the window of opportunity could be small.
“With speculation that interest rates are now pretty close to ‘bottoming out’, now may well be the time [to invest],” he said.
Can you afford to buy in this suburb? Find out how much you can borrow
Top Suburbs :
Get help with your investment property
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 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 and appointment is free.
We value your privacy and treat all your information seriously - you can check out