Top 5 Must Haves for Investors

Popularity within the Australian investment market continues to grow. With a rising population and increasing household income, Brisbane is a great source for investment. But with the abundance of opportunity, it’s hard to know where to begin.

Here our five key must haves when choosing the right investment property:

1. Location

With an expected influx of 300,000 residents over the next two decades (that's 267 people per week) Brisbane displays its self as a window of opportunity within the investment market. Suburbs already exhausted will have a shortage of availability, limiting their potential to capitalise on the influx. Choosing an area with upcoming infrastructure and residential zoning is key.

2. Market

Investors should be looking at current rental trends within their area. Queensland’s rental market has jumped 1.4% in the past 12 months. Young families are key drivers within the rental market. Areas that support families with medium to high average incomes are a great option for investment properties. 

3. Finance

Rental yields in Brisbane are 4.55%, higher than the national average of 4.1%. With the average weekly rent for Brisbane sitting at $410 per week there is great opportunity to positively gear an investment property. Depending on the property's price and potential yield, investors should look to purchase a property that can service this price point.

4. House Type

Selecting a property that is attractive to potential renters will ensure acquisition. Features such as low maintenance backyards and proximity to public transport should be considered when buying.

5. Depreciation

New homes pose significant benefits to investors. With less ongoing maintenance especially within the early years, new homes come with a 12-month builder warranty. Minimising any additional costs that could be outlaid compared to already existing properties. Investors can also claim depreciation on new properties, seek financial advive on this.

ENLARGE IMAGE

Sources:
Image: Urbane Homes, 2019
Statistics: QGSO, 2017, Urbis Report, 2018 and Pricefinder 2017