Property market update: Melbourne, April 2022
Melbourne’s growth plateaued over April and posted its first quarterly since the start of the pandemic boom, further d...
New research has found that metro locations have retained their popularity, with the majority of investors still looking to capitalise on Australia’s capital cities.
According to the 2019 PIPA Property Investor Sentiment Survey, 73 per cent of investors are keen to take out home ownership in metropolitan markets, with just 15 per cent considering regional locations as the most appealing.
“While Brisbane is once more the preferred capital city for investment among respondents, there has been a dramatic rebound in Sydney’s appeal among investors – rising from 9 per cent in 2018 to 14 per cent in 2019,” PIPA chairman Peter Koulizos said.
“The number of investors who now see Sydney as the state capital with the best investment prospects has increased significantly since last year; however, it is still lagging behind Brisbane (44 per cent) and Melbourne (27 per cent).”
Furthermore, the research found the number of investors looking to buy existing stock continues to be high at 91 per cent, with 71 per cent saying they intended to buy a house in the next 12 months.
The number of investors looking at off-the-plan units or house and land packages sits at 5 per cent, which is down from 6.4 per cent in 2018, the research noted.
Meanwhile, 48 per cent of investors are looking to purchase a property in the next six to 12 months, down from 52 per cent in 2018.
Capital refers to the financial resources that are available to be used for income generation.
An investment is an asset or item purchased with the expectation that it will generate income or appreciate in value in the future.