Just like food and water, shelter is an essential need for human beings. With data from the Australian Bureau of Statistics (ABS) highlighting just how many human beings have been added to the country's population, investing in shelter looks to be smarter than ever before.
The ABS recently reported that Australia's population increased 1.8 per cent over the 12-month period ending in September 2013. That brought the country's population up to a huge 23.2 million people - 405,446 of them brand new residents.
While Victoria led the nation in state population growth over this time period, New South Wales was close behind in second place. In fact, according to RP Data, annual population growth for NSW was at its highest level since June 2009.
"The data indicates that population growth is escalating into the two most populous states, New South Wales and Victoria, which, perhaps not so incidentally, are also showing the strongest housing market conditions," RP Data Senior Research Analyst Cameron Kusher said.
"In each other state and territory the rate of population growth is generally waning."
In addition to births and Australians living longer, much of the population growth can be attributed to migration. This has made property a premium in many areas of the country, an issue organisations like the Housing Industry Association (HIA) are calling on the government to tackle.
"It is vital that the implications of stronger population growth for housing demand are reflected in a clear and strategic focus on housing supply policy from all levels of government," HIA Economist Geordan Murray recently said.
However, for those interested in Australian property investment, now is the time to purchase real estate. More people equals greater demand, which in turn creates the potential for higher profits on re-sales or leasing.
Investors should also keep in mind that more buyers means increased competition, making the services of a qualified buyers agent even more essential for finding and negotiating the purchase of the ideal property.
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