Well, what an interesting year 2018 has been! In short, the property market had a roller-coaster ride. In 2019, the roller coaster is set for some more bumps and drops.
Q HOW WILL AUSTRALIA’S RESIDENTIAL MARKETS SHAPE UP, AND WHAT ARE THE BEST SUBURBS AND REGIONAL CENTRES FOR INVESTORS?
The main reason property price growth will slow or continue to go backwards is that banks have tightened their lending criteria and it is much more difficult to borrow money than it was even just a few months ago. Even if you can borrow the money, you can’t borrow as much as you could before.
If you want to make money from capital growth, you should stick to three fundamentals: location, land and looks.
Location: Areas close to the CBD and the beach are your best options if you have a buy-and-hold strategy. People like to live close to the CBD as that is where there is the highest concentration of jobs. The sea is also very popular for people who have money, and lifestyle is an important consideration.
Land: The value in real estate is in the land. When buying property, you need to ensure that most of what you are paying for is the land rather than the building. This is because it is the land that appreciates in value while buildings depreciate in value. For example, an old house on its own block of land is a better option than a brand new apartment.
Looks: With regard to looks, I am referring to two aspects. First, search for properties that have an outlook. The best view that you can get is a view of the water. The next best view is a view of the CBD. Views of wide open spaces such as mountains, hills or even reserves and parks are also beneficial. Second, it is the nice-looking character/period-style homes that buyers will often pay a premium for.
With these three fundamental elements in mind, the best places to buy in 2019 are:
Bu hikaye Money Magazine Australia dergisinin December 2018/January 2019 sayısından alınmıştır.
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Bu hikaye Money Magazine Australia dergisinin December 2018/January 2019 sayısından alınmıştır.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
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