Gone are the days where investors believed ‘I can go out, buy a house somewhere, stick some tenants in it to pay the mortgage and make a killing!’.
As property markets across the country continue to display volatility and fluctuate in price, investors, more than ever, need to conduct extensive research before they invest. To ensure their property outpaces the market, and to safeguard against unpredicted fluctuations in price, investors should search within a location that displays strong local economic growth.
Investors should consider areas where wages are growing above average. This will provide residents with more disposable income to spend on buying or upgrading their homes. Demographics are one of the biggest factors that determine capital growth, so investors are best to search in suburbs that are redeveloping, avoiding blue-collar dominant areas, as these may suffer if unemployment creeps up. These locations are also where growth in wages tends to be capped to the CPI.
At Calla Property, we understand the significance of getting the location right when it comes to investing in property. We have developed a research methodology, Calla Property Insights, to help us identify the best investments in the country. Our Macro Analysis identifies the geographical regions that are forecast to experience strong capital growth where we consider factors such as economics and employment, supply and demand, population and demographics, and infrastructure spending. Further to this, we conduct an in-depth Micro Analysis, where we identify the suburbs within a specific region, most likely to influence why someone would like to live there. Getting this part right, ensures you have income stability from your investment.
The Calla Property Team is passionate about education. The more insights you have as investors, the more comfortable you will feel about investing in property. To understand the importance of ‘location’ and getting it right, we have organised our second seminar for 2018: The Property Investor Series on ‘Where is the best place to invest now?’.
Hosted by Calla Property’s Managing Director, and one of Australia’s leading property experts, Susan Farquhar, the seminar will be a fantastic opportunity to learn about the importance of ‘location’ in property investment, as well as some of the current hot spots for investment across the country.
Location: The Grace Hotel, Sydney
Date: 12th of April
Time: 6:00 – 9:00pm