What’s up in the property market?

10 January 2024, 11:58 pm

What’s up in the property market? Compelling trends to inform smart investors

The team at Finwell Group is always on the lookout for useful information and trends to help us educate our clients on various investment markets.

The property market is one investment that is attracting a lot of attention – both negative and positive right now.

Let’s cut through the clutter and examine some facts that provide compelling evidence for ensuring an investment property is part of your portfolio in 2024.

  1. History Speaks – for several decades, the property market has been a proven investment performer. On average, property doubles in price every 7-10 years. This of course is an average, and selecting the right property in the right area remains important for investors and their advisors.
  2. Long game – despite short-term interest rate increases and the resultant impact on inflation, the property remains a strong long-term game for investors.
  3. Australia is facing a housing shortage – some commentators suggest that as a country, we are undersupplied with housing by as much as one million dwellings.
  4. Immigration is up – last year, Australia welcomed a record 500,000 or more new immigrants to the country, on top of a significant number of returning ex-pats. Post-pandemic this is the source of much of the undersupply in housing and why the demand for rental property is at an all-time high.
  5. Changing patterns of work and the rise of remote work are likely to impact demand for housing outside the usual capital cities. This may open up opportunities for investors. However, it will be wise to see what happens with remote and hybrid work and whether this ends up being a short-term trend driven only by the pandemic.

It is important to note that these trends can evolve, and the property market may experience changes over time. As such, investors should conduct thorough research, consider their risk tolerance, and stay updated on property market developments before making investment decisions.

Consulting with our team at Finwell Group to get personalised advice based on current property market conditions and personal circumstances is highly recommended to identify the right solution specifically for you.

You can set a free, no-obligation review appointment with one of our team by calling (03) 9017 3235 or emailing better@finwellgroup.com.au