Development and Investment Thrives
Australia’s own giants, Sydney and Melbourne, continue to defy property moguls and baffle investors. The development and investments of the market continue to experience consistent growth, which even the most pessimist investors can’t argue with. What that growth looks like and where the numbers fall vary depending on the city. Statistics have uncovered that 66% of Australian residents live in Sydney or Melbourne, so keeping an eye on their trends is never a poor investment of your time. Understanding the property climate of these great city’s will only serve you well, as there doesn’t appear to be a bad time to invest in the foreseeable future.
Sydney Growth Indications
Sydney is synonymous with more than just the Harbour and Opera House. It’s also known for its ample property opportunities, for those prepared to enter the market. Despite conflicting reports of a slight downturn in house prices, more Australian investors are exploring house and land packages in Western Sydney. Newly designed modern homes will attract steady tenant volume, and will complement the innovative environment of Sydney’s West. With no chance of the bubble about to burst, and Sydney’s West attracting global interest – there is only upside for the savvy investor. While Melbourne has recently overtaken Sydney as the number one prospect for development and investors in the Asia Pacific Region, researchers suggest that this should soon correct itself based on historical data. Rental growth was consistent in 2018, and promises the same growth in 2019. Sydney continues to be Australia’s number one office market, perceived as a default option for domestic as well as international property investors. Sydney’s home price downturn has had no effect on the price of housing stock, they still remain one of the most highly priced in the world.
Melbourne Growth Indications
Melbourne is number one for coffee and culture. But now they have another accolade to add to their gamut. Melbourne has surpassed Sydney as the number on prospect for development and investors in the Asia Pacific. Melbourne hasn’t been slumming it by any stretch, but to position themselves ahead of Sydney is a feat that they may not hold for too much of 2019. With development and investments strong, Melbourne’s residential property market is actually one of the weakest in Australia’s market, a suprising fact given the increase of 1.7 million residents to Melbourne over the last 40 years. The downturn started in January with ongoing falls mounting throughout the year. Conversely, rental growth for the year has been described as phenomenal. In an unpredicted turn, Melbourne has also jumped ahead of Singapore for development and investment prosperity, and there is evidence to suggest that this may remain the case all throughout 2019 and 202.
There is a lot to take in when you consider the option of investing in the Australian property market. If you then choose the Sydney and Melbourne market, further clout and considerations must be taken. Given the global demand for land in these two great city’s, it’s hard to make a bad investment. One must always make informed decisions based on the economic climate, as well as your own personal financial position.