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The
Propertybuyer

Podcast

Hear the latest weekly insights into the property market via podcast by Rich Harvey, CEO and founder of Propertybuyer.

 
Mon 12 Feb '24 with Rich Harvey Decoding Sydney’s North Shore Market – Outlook and Opportunities.
 
 
Sat 27 Jan '24 with Rich Harvey Home Buying in the Eastern Suburbs – A personal journey
 
 
Sun 7 Jan '24 with Rich Harvey Economic and Property Market Outlook 2024
 
 
Thu 21 Dec '23 with Rich Harvey Sydney’s Luxury Property Market Insights
 
 
Mon 11 Dec '23 with Rich Harvey Economic Recession or Recovery - What’s next?
 
 
Wed 22 Nov '23 with Rich Harvey Using Data & AI for Better Property Decisions
 

 

Listen to many more
podcasts on our
Podcasts page.

 
 
 

Propertybuyer Blog
Property advice, market updates & more

 

Commitment crazy: Australians obsessed with investment lending

February 26, 2015 / Written by Rich Harvey

 

By Rich Harvey, CEO, propertybuyer.com.au

There has been a pretty clear indication that Sydney dominates the housing market in Australia at the moment. The prices have been rising more than anywhere else, and despite some slowdowns, I think they will stay strong for at least another year. But another factor that shows just how strong this market is recently came to light, and that's the level of investment occurring in New South Wales.

Records coming tumbling down

Nearly half of all investor commitments to borrowing funds for a property in December last year occurred here in NSW, according to CoreLogic RP Data. This trend of investors taking up more of the market is being echoed on a wider scale as well. The February 23 release from the research company reviewed Australian Bureau of Statistics data and revealed that as of December 2014, the total value of lending given out to investors was $12.6 billion. 

That's a new record for the amount borrowed for Australian property investment, and a sure sign that even as price growth slows, investor confidence is still on the up. 

In terms of comparing this value to the value of owner-occupier lending, money loaned out to investors now makes up 41 per cent of the total value of lending in Australia. That's not quite a record-breaker, falling just shy of the 41.2 high water mark seen in 2003. 

But how does this benefit you?

A large amount of investment activity means you have to get as much expertise on your side as possible to make sure you get the top-tier properties. One way of doing this is managing the data with a keen eye. For example, a recent National Australia Bank Residential Property Index report suggested that apartments valued between $1 million and $2 million​ had the best capital growth prospects for 2015.

But if this is the type of property you want, you need to make sure you can access it. That's where a buyers' agent is indispensable, as our relationships with other agents and intimate knowledge of where growth can be found means you could get access to properties well before they are even listed on the market.

That's a foot in the door that not everyone has, and means you could find your investment property in Sydney making gains or positive cashflow very easily. By tailoring a strategy to exactly what you want out of the market, a buyers' agent can bring you exactly what you need, before other purchasers can get their hands on it. 

The Propertybuyer
Podcast

 
Mon 12 Feb '24
with Rich Harvey
Decoding Sydney’s North Shore Market – Outlook and Opportunities.
 
 
Sat 27 Jan '24
with Rich Harvey
Home Buying in the Eastern Suburbs – A personal journey
 
 
Sun 7 Jan '24
with Rich Harvey
Economic and Property Market Outlook 2024
 
 
Thu 21 Dec '23
with Rich Harvey
Sydney’s Luxury Property Market Insights
 
 
Mon 11 Dec '23
with Rich Harvey
Economic Recession or Recovery - What’s next?
 
 
Wed 22 Nov '23
with Rich Harvey
Using Data & AI for Better Property Decisions
 

 

Listen to many more
podcasts on our
Podcasts page.