According to the Professionals Real Estate Group, current market conditions make this the perfect time to buy property.
“Property values have fallen across many suburbs, while at the same time interest rates are in freefall and rental prices remain high – it’s a heady mix that bodes well for astute buyers,” according to Professionals WA CEO David Hobbs.
“Under this unique set of conditions, positive cash flow properties are becoming more and more common.p>
“We’re seeing more and more properties that are generating a net gain based on the rental income being greater than the costs associated with owning the property. Traditionally in Perth we’ve seen quite low net gains, but that’s changing quite rapidly in this climate.
“Some of the costs properties may incur include the expenses associated with purchase, land tax, management fees, rates, electricity and upkeep of the property.”
“Mr Hobbs said cash flow positive properties are what many investors aspire towards, with their investment property actually generating a profit rather than recording a loss.
“Professionals are also a very people focussed real estate group and one of the key reasons why I joined the group was the warm and welcoming support provided by everyone I came into contact with at Professionals,” she said.
“Now is the time to look at the equity in your existing property and make the move. Sure, the economic forecast is still unstable, but purchasing real estate in a recessive market is still the most sound and stable Investment you can make.
“Both commodities and shares have fallen dramatically over the last 12 months, while the real estate market has remained resilient Australia-wide in comparison. p>
“There no doubt that Western Australia housing has become affordable to first home buyers with the introduction of low interest rates, as well as government assistance up to $21,000 for those who qualify.
“My tip is that smart investors will be quick to take advantage of the current conditions and in turn, that will lead to an upwards trend across the real estate industry in general,” Mr Hobbs said.
