Investors being urged to return to the property market
While much of the recent property market activity has been attributed to First Home Buyers and other Owner Occupiers, with many of the Covid stimulus geared towards this area. Investors seeking to expand their portfolios may also be looking to take advantage of lower interest rates, increasing rental returns and extremely low vacancy rates.
According to figures put out by (ABS) Australian Bureau of Statistics, new owner occupier loans dropped almost 2 per cent in February 2021, while investor lending grew 4.5 per cent month-on-month and almost 32 per cent year-on-year.
Research shows that as investor interest rates have been falling. There are currently 104 investor home loan lenders offering interest rates below 3 per cent, and 64 offering rates below 2.5 per cent. Investor loans even with interest only payments are now attracting rates below 3 per cent. Conditions for these loans do apply so if you would like to know which lender would suit your personal circumstances best, please feel free to contact me.
Because it is important to consider more than just the interest rate when comparing investor home loans, it is always best to check with your broker, the different options available and the best structure to meet your personal circumstances.
With the current high demand for rental properties, we have seen reports of people becoming homeless due to the lack of rental stock currently available. With rents increasing and rates so low – it has never been a better time for investors.
For more information, speak to me and discover what is possible for you!