Investment property: Thirty per cent spike in apartment rents an opportunity for investors

A 30 per cent or more spike in apartment rents over the next five years will boost returns for investors already in the market, and create a short window of opportunity for new investors to maximise yields as well – before capital values surge by similar amounts.

The highest growth of more than 30 per cent is expected to occur in five markets: Sydney’s eastern suburbs, Parramatta, Melbourne’s northern suburbs, Perth City and almost all precincts in Brisbane.“At the start of 2013 just four precincts in Australia had an average rent of over $600 per week for two-bedroom apartments, being the Sydney and Perth CBDs, Sydney’s eastern suburbs and Sydney’s Lower North Shore,” said CBRE’s Pacific head of research Sameer Chopra.

Mr Chopra said investors who bought apartments over the next two years might also benefit from higher rents, but those who purchased after 2026 would see rental growth offset by higher capital values. These are expected to have risen by 30 per cent by 2028. Despite the dire outlook for rents and vacancies, Mr Chopra said he still expected the cost of renting to remain more affordable than purchasing across Australia’s major cities.

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Microsoft’s new $5 billion Australian investmentPrime Minister Anthony Albanese has secured a major partnership with Microsoft to bolster Australia’s cyber-security capabilities. Mr Albanese was joined by Microsoft chiefs in Washington as the tech giant announced a $5 billion investment over the next two years.
Source: SkyNewsAust - 🏆 7. / 78 Read more »

‘Good news’: $5b tech investment will help Australia become ‘leading digital economy’Government Services Minister Bill Shorten says the announcement of a $5 billion investment by Microsoft over the next two years is “good news” for Australia. Mr Shorten says the investment will help Australia become one of the “leading digital economies” in the world.
Source: SkyNewsAust - 🏆 7. / 78 Read more »

‘Will also grow the economy’: Microsoft’s new $5 billion Australian investmentTech Council of Australia CEO Kate Pounder says Microsoft’s new $5 billion investment “could not be more timely” as the range of cyber threats against Australia increases. Ms Pounder told Sky News Australia the move is “not all about cyber security” but also aims to grow the economy.
Source: SkyNewsAust - 🏆 7. / 78 Read more »