Property news you need to know: The week ending 19 September
Smart Property Investment is pleased to present a weekly round-up of the biggest stories across property, investment, re...
Damian Collins, What's stopping your property from going up in value?
Supply and demand are absolutely crucial when you're buying an investment property and too many people focus on the demand side and forget about the supply. So often you find property marketers will tell you to particularly go to locations such as the Gold Coast for example. They'll say "There's great demand, lots of people moving here. It's the fastest growing city" and so on and so on. But what they forget to mention is the supply component of it and if there's lots of land available for release. And if you're buying an apartment in an area where there's lots of potential supply, for example in Melbourne at the moment. In 2014, Southland and Docklands have a lot of supply come around to the market so even if that demand's really good, supply can really inhibit price growth. So I'm very much of the opinion that when we're buying property and what we do, we look for those demand factors but if there's potentially a lot of supply it just rules it out as being a good investment area.