In the wake of policy changes and housing prices, many experts now believe that there will be an influx of eastern states investors here in WA. The affordability of Sydney and Melbourne markets in particular, are expected to force people west in order to get the best bang for their buck.
While the interstate migration has slowed over the past few months, figures still suggest that Perth is in high demand for investors. Perth currently has 19,000 houses listed on the market, which has caused the median house price to drop by $20,000 in the last quarter to $525,000. Compared to Sydney, whose median house price in the past 12 months has risen by over $100,000 to over $1 million, Perth represents great value in the long term for investors.
Gavin Hegney, director of Hegney Property group said that “Sydney’s market was running on emotion and buyers were safer in WA where they were more likely to pick up a bargain”. Momentum Wealth managing director Damian Collins also formed the same opinion suggesting that Sydney’s bubble would burst and WA would represent great value for investors.
With the median house price difference between Sydney and Perth currently around $450,000, it is inevitable that investors will start looking further west to fuel the property investment desires. Bourkes real estate agent Karen Firth said “in South Perth you can get a home for around $1 million but in Sydney, you wouldn’t even get an apartment for the same amount”.
Melbourne has also seen an increase in their median house price to $671,000, up $60,000 over the past 12 months. This increase also puts further pressure on investors to come west, as they aim to make the most of a market which continues to show signs of slowing.
If you wish to get into the investment property market in Perth, give your local Mortgage Brokers Steve or Nathan a call today on (08) 6144 3230 or email at email@example.com and they can help you secure a home loan.