Thursday, August 10, 2017

Investors, get ready. Spring is just around the corner!

Spring is less than four weeks away and for many of us, we are counting down the days! Not just because the weather starts to warm up but for the property enthusiasts it is typically the busiest period in the real estate industry.

It is when homes start to look their best and we begin to see an increase in activity in the market. Historically spring means there are more properties available to buy and rent, and purchasers and tenants finally start to experience some relief, following the lower stock levels seen over the winter months.

So investors, with less than four weeks to go, now is the time prepare and get yourself ready 
to buy. And here's why...

Greater choice.

As we head into spring there is generally more choice in the market. Not only in terms of the number of properties available in your price range and chosen area, but also the property type that you might be interested in (for example houses or units). This gives you a greater ability to compare the rental returns of the different types of properties on the market and make an informed decision when buying.

Capitalise on the busy period.

Purchasing a property in spring provides the right amount of time to prepare your new investment to hit the rental market. With typical settlement periods of 30, 60 or 90 days on your property purchase, you are in the prime position to make the most of the December/January peak rental period. This includes planning a marketing strategy to ensure you can make the most of the 'new year rush'. This is the time of year where the number of tenants looking to secure a new home peaks. You can also capitalise on the relocation activity that occurs.

Interest rates.

With the Reserve Bank of Australia keeping the official cash rate on hold again this month, at 1.5% it remains at historical lows. With investor rates starting from 4.5%, funding remains affordable for landlords.

So if you're thinking about entering the property investment market, now is the ideal time to get yourself ready. Start looking at your budget, how much you can borrow as well as suburbs that have been flagged for growth potential.

Our property management team are here to share our market knowledge and ensure you 
are ready to take advantage of the current climate when spring hits!

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