The property market in Australia is currently red hot. With unprecedented growth, regions across Australia are experiencing massive surges with some properties jumping by more than six figures. A stark contrast from the grim predictions made by banks last year.
But don’t let this put you off getting onboard the market and investing. I predict that prices are only going to continue to grow and there’s a real opportunity to make some coin.
However, don’t forget that you need to be smart about where you choose to make your investments.
Changing Consumer Demand
Traditionally, investing in a major city like Sydney, Melbourne or Brisbane has been a safe bet. This has aligned with workers wanting to live close to where their jobs are. No one wants to spend hours commuting to their job each day. While current demand for houses remains strong, many off the plan and high rise apartments are not faring as well and should be considered twice as an investment. An over-supply of stock and poor build quality has shaken consumer confidence.
Covid-19 has completely changed the landscape with a massive shift in the priorities of consumers. Instead of limiting your investment portfolio to major Australian cities, it’s time to think outside the box.
As remote working has become much more normalised and accessible, workers are looking at areas that are more affordable, liveable and provide greater value for money.
So Where are we Headed?
Buyers are moving to coastal towns in Australia to take advantage of what they perceive to be a ‘better lifestyle’. Areas like New South Wales’ Central Coast and South Coast and Queensland’s Gold Coast and Sunshine Coast are experiencing rapid growth and present an excellent investment opportunity.
Don’t believe me? Rental data shows that the Gold Coast and Sunshine Coast are now among two of the most expensive areas in Australia in which to rent a home, far exceeding the closest major city, Brisbane. While some of these coastal towns have been highly desirable for a while (here’s looking at you, Byron Bay), many are yet to reach their full potential and will likely provide great returns further down the line.
Getting your Foot in the Door
Knowing where to start can be a little daunting and that’s why I suggest working with a buyer’s agent to help you through this process. A buyer’s agent can use their expertise and market knowledge to ensure you find a property that’s going to be a great investment. Plus, if they’re local to a coastal area that you’re interested in (and you’re not), they can manage property inspections for you. Too easy. You can find a local agent here.
So now that you have an idea around why you should be expanding your property portfolio into Australia’s coastal towns, it’s time to get investing. Which coastal area are you most interested in learning more about?
By Ben Handler
About Ben Handler
With an acute knowledge and extensive experience across the property market in Australia, Ben Handler brings a unique edge to the industry – one that he now shares with you.
Having co-founded Australia’s largest Buyer’s Agency, Cohen Handler, Ben built and mentored an expert team who together amassed residential and commercial purchases of more than $3 billion.
After reaching and exceeding his initial goals with Cohen Handler, and buying and selling companies and businesses with enormous success, Ben realised and launched the Buyer’s Agent Institute, focusing on training and mentoring the next level calibre of Buyer’s Agents in Australia.