Markets in a ‘sound’ state despite shift: PIPA
The winds of change are sweeping through the country’s real estate market, but for Property Investment Professionals o...
Investors looking for growth should consider regional property assets, according to Raine&Horne.
With strong prospects for capital growth and relatively low vacancy rates, Raine&Horne CEO Angus Raine said investors shouldn’t overlook a regional property investment.
Raine&Horne Tamworth principal Bryan Bolitho said in Tamworth, investor enquiries are constant for houses between $200,000 and $300,000, which will deliver a yield of about 5.5 per cent and are seeing vacancy rates below two per cent.
“In Tamworth, it’s possible to buy an older style, three-bedroom home, with a single bathroom and garage for around $250,000, so your money can go much further in a regional town like ours,” he said.
Mr Raine offers advice for investors looking to buy in regional towns – most importantly, to look for towns with a diverse economy. “Look for towns that have viable, growing economies, while predicted rises in population and employment are key, as these bode well for long-term real estate growth,” he said.
“A diversified economy is also important, as a region that supports a variety of industries is better placed to withstand a downturn in one sector.
“Features that attract renters, like access to public transport, major roads, hospitals, schools, universities and jobs in our major cities are also a plus when looking for a rental property in regional towns.”