Cost of living is a concern for nearly one-third of Australian property investors while one-quarter worry about increasing property prices, a new survey reveals.
Mortgage Choice’s Investor Survey found that cost of living is the “biggest issue” facing investors in Australia, but noted that “surprisingly” a quarter of property investors find rising property prices to also be a cause for concern.
“This would suggest [that] property investors are constantly looking to expand their portfolio of assets and, as such, don’t want property to become so expensive that it is out of reach,” John Flavell, Mortgage Choice CEO, said.
He added: “I am not surprised to hear that so many property investors are worried about the cost of living.
“Everyday, expenses such as gas, electricity, childcare and transportation continue to rise every year, which is bound to negatively impact the hip pocket of all Australians, including property investors.”
Further, the survey revealed that 20 per cent of respondents listed job security as a concern and 15 per cent flagged rising interest rates as a worry.
Mr Flavell urged investors to control where they spend their money by drawing up a detailed budget and considering having their home loan checked.
“Your local broker can look at your current product and compare it with others on the market. They may be able to help you find a product with a sharper rate that will end up saving you thousands of dollars.”
A finder.com survey released in August found that 47 per cent of Australians bank with just one financial institution. Women are more likely to be loyal to one lender (49 per cent) than men (46 per cent).
According to the survey, just 34 per cent of customers have accounts with two banks and 13 per cent with three; 5 per cent of respondents bank with four or more institutions.
The most loyal bankers are in West Australia, with 56 per cent of respondents banking with one institution, while Queenslanders and Victorians are more likely to bank with more than one.
Bessie Hassan, money expert at finder.com.au, said that customers need to “cherry-pick” the products that suit their needs.
She suggested to consumers: “There’s strong competition among the banks and they’re often competing for your business, so make sure you actively look for better financial details at least once a year.
“If you don’t shop around, you won’t know if you’re getting a dud deal and that inertia is what the banks rely on.”