The most recent AFG Index has shown mortgage volume reaches a record high in the September quarter, in line with interest rate cuts and informed purchasers taking advantage of the turning market. July, August, and September have shown a massive 21% increase from the previous quarter, with the total number of mortgage lodgements hitting a two year high.
Buyers are flooding back into the market, with the lower interest rates making principle and interest loans more viable. The ability to pay down property debt and spend less on interest puts buyers in a more advantageous position in terms of long term portfolio growth.
Higher confidence in the property market typically results in more active buyers, and gradual increases in prices tend to follow. The more buyers, the less properties remain on the market. Fewer properties means sellers can increase asking prices thanks to less competition in the market.
Being aware of changing trends can allow savvy investors to make property purchases as the market turns while prices are still competitive and more affordable. Combine a lower purchase price with lower interest rates, and the income generated from a dual occupancy tenanted property could be used to pay down the mortgage faster and purchase a subsequent dual occupancy investment property sooner.
Of course, no matter the state of the market buyers will want to ensure to make the best purchase decisions in areas. Avoiding overcapitalisation, hidden or ongoing extra costs, and ensuring quality and strong rental demand are always important considerations. Research comparative properties, prices, and inclusions.
Do your homework and act decisively and you could very well secure yourself a quality property in a suburb with strong growth at a lower purchase price, and at a low interest rate.
Start with our current dual key and duplex listings and then compare prices and inclusions with other properties on the market.
Learn how you can build your portfolio faster with a dual key home cashflow positive investment strategy.
Request a call from one of our knowledgable team members and tailor a turnkey house and land package to suit your needs.
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