Western Sydney will prove to be one of the nation’s property investment hotspots next year, according to a recent report by SQM Research.
The Western Sydney Regional Report, gives Sydney’s west a score of 4.25 stars out of five, and forecasts that the area will outperform most Australian regions next year.
Western Sydney’s property prices are expected to grow by between 2.6% and 6.6% in 2012, says the report, thanks to various factors. These include:
Significant regional development over the last two decades – more so than the majority of surrounding regions.
A tight vacancy rate of significantly less than 2% over the last six years
Strong population growth in comparison to broader Sydney, which is forecasted to continue
Strong rental yields for both houses and units in comparison to broader Sydney
The affordability of property compared to greater Sydney
The transformation of Auburn, Bankstown, Fairfield, the Hills Shire, Liverpool, Parramatta and Penrith into commercial districts was also a major consideration.
"We have quite a high conviction that Sydney's west is likely to outperform most regions throughout the country for the next three years. We take this position based on the view that there is an actual genuine shortage of real estate in this region, as demonstrated by supremely tight vacancy rates in comparison to other regions around the country,” said SQM Research managing director Louis Christopher.
“In addition to this, we see no signs of oversupply in terms of new dwelling construction. We also note the increase in population growth rates and the relative affordability, plus the infrastructure that is coming into the region.”
Do you have more than $200k in your super fund? You could use your super to buy property - Find out how
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 an appointment is free.
We value your privacy and treat all your information seriously - you can check out