The Finance Architect
  • Home
  • Who We Help
    • I am needing to organise my finances >
      • Get Finance Fit
    • I am a First Home Buyer >
      • First Home Owners Grant (FHOG)
      • Stamp Duty Concessions
      • Guarantor Loans/Family Pledge
    • I am wanting to Refinance
    • I am a Property Investor
    • I am getting married! :)
    • I am buying a car
    • I am sending my kids to private school
    • I am needing some short-term $$
    • I am needing money - It's an emergency!
  • TFA CONNECT
  • Education Hub
    • Loan Features
    • Loan Types
    • Loan Process
    • Loan Document Checklist
    • Bridging Finance
    • Building & Pest Inspections
    • Construction Loans
    • Deposit Bonds
    • FREE Property Valuation Report
    • Lenders Mortgage Insurance (LMI)
  • Loan Calculator
    • Loan Serviceability Check
    • How Much Can I Borrow?
    • Stamp Duty Calculator
    • Complete Loan Comparison
    • Income Tax Calculator
    • P&I versus IO repayments
    • Basic Loan Repayments
  • Blog
  • Contact Us
    • Contact Details
    • Meet the Team
    • About Us
    • Credit Guide and Privacy Statement
    • Our Lender Panel
    • Client Testimonials
    • Our Business Partners
    • FAQ
  • Mentoring

Property a Firm Favourite

28/4/2015

0 Comments

 
Following a strong run in many locations in 2014, sound investment fundamentals and low interest rates continue to make well-selected property an attractive investment selection in 2015.

A record number of investors hit the real estate market last year, creating a buying and selling frenzy across many parts of the country. According to Domain Group’s senior economist Andrew Wilson, a colossal 14,500 homes were listed for auction over September to December, compared to 12,584 for the same period in 2013.

Over the course of 2014, capital city house values grew by 7.9%. Gains were strongest in Sydney, with year on year growth of 12.4%.

With the Reserve Bank of Australia reducing the official cash rate to a historical record low of 2.25% at its February meeting, and a rise in interest rates unlikely in the short to medium term, property is likely to remain a popular investment option.

But it’s not just low interest rates that make property a popular investment option. Here are some of the key reasons for property’s persistent appeal:

It’s simple: Property has proven itself to be a trusted wealth creation tool that is often easier to understand than other complex investment options. And with a long-term investment approach and a good property manager it can largely be a set-and-forget type asset, that doesn’t require daily input on an investor’s behalf.

Steady returns: Property offers both the potential for capital growth over time as well as ongoing passive income in the form of rent – a compelling combination for long-term wealth creation.

Your dollar goes further: Many lenders will finance up to 90 per cent of the value of the property based on the lender’s valuation – generally more than is available for other asset classes.

Manufacture capital growth: Smart improvements can quickly push a property’s price upwards, enabling investors to speed up returns.

With the heady spring and summer months now behind us and low borrowing costs continuing, autumn could prove a good time to buy for many. Remember, if you’re looking to explore the property market, it pays to have your finances in order so you can be ready to act when the right property pops up.

Getting an indication of your borrowing capacity will also help you to narrow your property search appropriately. 

The Finance Architect 

 
0 Comments



Leave a Reply.

    Dale Wilkinson

    Home Loans
    Refinance
    Equity release
    Investments
    Car Loans

    Categories

    All
    Broker
    First Home Buyer
    Home Loan
    Investors
    Loan
    Mortgage
    Purchase

    RSS Feed

contact us

The Finance Architect
Office: 1 International Ct, Scoresby VIC 3179
Phone: (03) 9015 9880
Email: info@thefinancearchitect.com.au
Dale Wilkinson is a credit representative (450039) of Buyers Choice Licencing Pty Ltd ACN 626 172 281  (Australian Credit Licence 509484)

RECENT ARTICLES

  • What’s The Secret To Buying My First Home?
  • ​Five Things First Home Buyers Need To Know
  • How To Pay Off Your Mortgage Faster
  • 10 Tips When Buying An Investment Property

SPEAK WITH AN EXPERT

Clink the link below and receive a phone call to discuss your financial needs directly


Book a phone call