Australian real estate remains attractive to investors
The latest survey shows that the attractiveness of the Australian real estate market has not fallen sharply despite signs of slowing down over the past few months.
The Australian Real Estate Association has conducted a survey of the psychology of 820 Australian investors in real estate. Investors have been relieved of the financial and economic downturns of the Sydney and Melbourne markets and have placed more trust in the Australian real estate market over the same period of 2017. .
Among the respondents, 77% believe this is a good time for real estate investment, 55% are planning to buy a property in the next 6-12 months.
Changes in the investment loan policy have affected the financial ability of investors. 48% of respondents said this, slightly up from 2017 (43%). The adjustment to the deduction of investment losses and capital gains tax (CGT) also made 45% of investors said they would review the investment plans in the future.
Still, investors are optimistic about their investment prospects: 60% believe that their portfolio will be profitable within the next five years; 61% said that applying higher interest rates to investors than homebuyers was not a big problem for them; 90 per cent said that concerns about falling Australian property prices in Sydney and Melbourne would not hinder their investment plans.
According to survey data, Brisbane continues to be the favorite choice for Australian property investors when it is chosen by 44% of respondents (43% in 2017). At the same time, Sydney’s popularity fell sharply as only 8% of respondents chose to invest.
Melbourne is still on the list of the best investment destinations with 26% of the respondents (down slightly 6% over the same period in 2017).
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