Are you in your fifties, is your attention drawn to the real estate market for the first time, but you are back, you wonder, is this still a viable time to invest?
Michael Beresford, director of investment services at OpenCorp, reminds people that "there is a lot of life left to do from the age of 70".
"Over the same period, in the past 20 years, prices in Sydney have gone from $ 300,000 to over a million dollars, and [there was] Melbourne's exponential growth of 250 $ 000 to well over $ 800,000, "Beresford explains.
For investors who are ready to take the measures available to them today and who persist in finding suitable solutions in the medium and long term, Beresford says that it will be "very difficult to get deceive because the property is an asset class proof ".
"What immigration policy tells us is that the government is committed to intensifying migration. People need to live somewhere and the two main factors that determine where people choose to live are jobs and affordability, "says Beresford.
But while demand should tilt, there is the reluctance of some age groups to take on more debt, especially if they are about to finalize the loan. at their main place of residence or are about to host their retirement years.
"A very small percentage of Australians have historically invested. It’s about 10%. It gradually grows as people become more aware of wanting a better lifestyle than pension, etc. Said Beresford.
He also explains that even if your house requires repayments from your pocket, with investment property, you receive rental income and tax advantages, which "help you collect this debt".
"Because of the current interest rate situation, if you have a solid deposit and you maximize your tax benefits, it will not cost you anything to be able to own the property," he shared.
The climate of low interest rates has also opened up new investment opportunities which otherwise would not be possible for a handful of investors; like having better financial capacity to add value through a development or subdivision. However, Beresford advises people to stay balanced on the project they want to execute.
"[Low interest rates] creates more opportunities, but if you have never done development, do not put your neck out and go to develop 10 units as your first project because the risk is high if you do it yourself and you're not familiar with the process, "says Beresford.
He explains that one of the biggest advantages at the moment is that "your investment property can give you a much better return just on cash flow, beating them two or three times interest rates on deposits'.
"Growth is therefore effectively free," he says.
Top suburbs:
fig wood
,
redcliffe
,
trott park
,
miller
,
crossing ropes
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