Investor activity remains strong
The annual PropTrack Terri Scheer Investor Report found that approximately 1 in 7 Australians own a rental property. The report revealed that investor activity has been strong over the past year, nearing the highest level of new lending since 2017. The strong investor activity is likely fueled by a tight rental market, low vacancy rates, and declining mortgage rates.
Over the past year, Australia has experienced rapid growth in home prices, and the report explains that the share of profitable home sales nationwide is at its highest level in at least a decade. More than 90% of investment properties sold in the last twelve months were sold for more than their original purchase price. The report also highlights that it is common for households investing in property to own one or two properties in their portfolio.
Given the current tight market conditions, continued growth, and future expectations regarding interest rates, it is likely that investor activity will remain high.
Number of investment properties owned
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