I recently attended a session at the invitation of Ben Weeding, a property buyers agent specialising in assisting expats build investment property portfolios in Australia. You can view the presentation here.
Some of the key points included:
- House prices – up in Sydney, Melbourne and Brisbane, but declined in Darwin and Perth
- Unit prices – up in Sydney and Adelaide, but oversupply in Melbourne
- Mining downturn – with a 76% drop in the iron ore price
- Low interest rates – record low of 2% has stimulated the economy to encourage buyers
- Low savings rates – lowest since 2008
- Increasing construction– in most states except Sydney
- The APRA impact – has resulted in requirements for higher deposits and buffers for investment loans
- Impact of China – our biggest trading partner, rising middle class and interest in prestige homes
- Search for yield – APRA impact
- Jobs growth – where will it come from ?
For more information contact Expat Advisors Community member Ben Weeding.