Andrew Staehr

Considering investing in a strata property?

By Andrew Staehr

If you’re looking to enter the real estate investment market this year, a strata property could be the right move.

Blogger: Andrew Staehr, Archers – the Strata Professionals

Property prices are expected to plateau this year, with first home buyers set to take advantage of a slowing market. While first home buyers traditionally favour the ‘fixer-upper’ house, a growing number of property debutants will look to units to maximise their investments.

Many first-time investors assume that houses are more profitable due to their size and land value, but apartments are quickly becoming a popular way to access the high capital growth traditionally associated with houses. One reason for this is that apartments reap strong cash flow, an important benefit that entices many.

The patterns of growth in property values have changed significantly over the past few years, with many Australians now choosing to live in inner city precincts, closer to work and the attractions of urban life.

Apartments offer an affordable entry point into the market in locations previously outside many investors' price ranges, which is another reason for their growing popularity.

Highly sought-after locations are more attractive to investors, offering higher rental yields and investment security. This essentially means that investors can purchase smaller, more affordable properties in busier suburbs and receive higher cash flow. The lower price point of units also allows investors to build a diverse property portfolio more quickly.

Another reason why Australians are considering strata investment is the upkeep and maintenance performed by the body corporate. If you own a house, all maintenance issues are your responsibility, whereas the maintenance and care of an apartment building and its surrounds are the responsibility of the body corporate.

Investors can budget for maintenance and body corporate fees from the outset, thanks to easily accessible strata property histories.

Informed investment is a security in itself. Strata searches and inspection reports can be requested prior to purchase, providing detailed records of property evacuation and health and safety requirements, as well as general meeting minutes and building reports.

If you’re looking to enter the investment market this year, then it’s definitely worth considering a strata scheme. The lower price and minimal maintenance requirements will see you enjoy a higher cash flow.

About the Blogger

Andrew Staehr

Andrew Staehr

Andrew has been involved in the property management industry since 1999 and has worked for Queensland’s most respected body corporate and strata management firm, Archers Body Corporate Management since 2002. He is an expert on all operational matters concerning body corporate and strata title communities.

Andrew is a regular media commentator on topics of interest to residents, investors, owners and managers of body corporate properties. He holds a Certificate IV in Body Corporate Management, is a Member of Strata Community Australia (SCA), the Urban Development Institute of Australia (UDIA) and the Australian Resident Accommodation Managers Association

Thank you.

Your enquiry has been sent to a local Aussie Mortgage Broker.

We will be in contact with you shortly.

error occurred.
Unfortunately Aussie cannot attend to your home loan related enquiry at this stage as you must be a citizen or permanent resident.
Do you need help finding the right loan for your investment?
What Aussie do for you:
  • Give expert mortgage advice to help you find great investment loan deals
  • Help you maximise return by lowering financing costs
  • Save you time and effort by helping with the paperwork
First name
Last name
Mobile Number
Are you an Australian Resident?
promoted stories

Top Suburbs

Highest annual price growth - click a suburb below to view full profile data:
BLUE BAY 49.18%
Considering investing in a strata property?
SPI logo