The real estate market in Australia will be a tougher one in 2016 according to one property expert... Survey reveals what tenants look for...
Real estate market to be tougher in 2016, but opportunities still present
The real estate market in Australia will be a tougher one in 2016 according to one property expert, as two main groups of buyers compete for properties amid a more restrictive lending environment.
Experienced property investor and head of business management at wealth management firm Yellow Brick Road, Andrew Morello believes there will be a different dynamic in the property market this year as first time buyers and experienced investors become the most active.
“What’s happened recently is that there’s been a shift away from the investors and back to the owner to the owner occupiers as some of the heat’s come out of the market,” Morello said.
“If you went to an open home or an auction you were seeing empty nesters looking to downsize, first time investors and first home buyers. The first home buyers will still be there, but I think what we’re going to see now is the re-emergence of the really experienced investor who’s been in property for 30 years or so and really knows what they’re doing,” he said.
Morello believes those investors that will return in the market abstained from buying recently as they were put off by people over extending themselves.
“The past few years the really shrewd investors have been frustrated by how much heat was in the market and having to compete with so many people who were willing to over capitalise and pay more than what properties were worth,” he said.
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Survey reveals what tenants look for
The wish lists of Australian tenants are made up of a mix of the old and the new according to a recent survey.
Commissioned by telecommunications company Optus and carried out by research company McCrindle, the Renter of the Future survey claims to have identified the top five qualities tenants in Australia are looking for when considering a rental property.
The top two qualities on the list are unlikely to surprise anyone, with 38% of tenants putting parking as their most sought after feature, while 32% of tenants are looking for properties that are pet friendly.
A cable internet connection (31%), a strong mobile signal (25%) and the number of power points in a room rounded out the list.
McCrindle principal Mark McCrindle said factors three through five on the list represent how tenant’s preferences have evolved in recent times.
“Renters comprise nearly a third of Australian households. For the modern Aussie renter technology underpins and has become completely fused with their lifestyle” McCrindle said.
“This group is among the first to jump onto new technologies, keeping abreast of the latest trends and, where possible, the latest devices. Accessing the internet quickly from their new rental property is a must for them,” he said.
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The real estate market in Australia will be a tougher one in 2016 according to one property expert, as two main groups of buyers compete for properties amid a more restrictive lending environment.
Experienced property investor and head of business management at wealth management firm Yellow Brick Road, Andrew Morello believes there will be a different dynamic in the property market this year as first time buyers and experienced investors become the most active.
“What’s happened recently is that there’s been a shift away from the investors and back to the owner to the owner occupiers as some of the heat’s come out of the market,” Morello said.
“If you went to an open home or an auction you were seeing empty nesters looking to downsize, first time investors and first home buyers. The first home buyers will still be there, but I think what we’re going to see now is the re-emergence of the really experienced investor who’s been in property for 30 years or so and really knows what they’re doing,” he said.
Morello believes those investors that will return in the market abstained from buying recently as they were put off by people over extending themselves.
“The past few years the really shrewd investors have been frustrated by how much heat was in the market and having to compete with so many people who were willing to over capitalise and pay more than what properties were worth,” he said.
In depth: BDM in the spotlight: Grant Smith
Survey reveals what tenants look for
The wish lists of Australian tenants are made up of a mix of the old and the new according to a recent survey.
Commissioned by telecommunications company Optus and carried out by research company McCrindle, the Renter of the Future survey claims to have identified the top five qualities tenants in Australia are looking for when considering a rental property.
The top two qualities on the list are unlikely to surprise anyone, with 38% of tenants putting parking as their most sought after feature, while 32% of tenants are looking for properties that are pet friendly.
A cable internet connection (31%), a strong mobile signal (25%) and the number of power points in a room rounded out the list.
McCrindle principal Mark McCrindle said factors three through five on the list represent how tenant’s preferences have evolved in recent times.
“Renters comprise nearly a third of Australian households. For the modern Aussie renter technology underpins and has become completely fused with their lifestyle” McCrindle said.
“This group is among the first to jump onto new technologies, keeping abreast of the latest trends and, where possible, the latest devices. Accessing the internet quickly from their new rental property is a must for them,” he said.
In depth: Don't underestimate the reach of social media
