Investor Activity Heats Up

Investor activity has hit an eight year high, with about one in seven Australians now owning a rental property.

The REA PropTrack Terri Scheer Investor Report, shows new investor lending has risen steadily with the highest increases of 16% in Queensland and South Australia.

Compared to the previous financial year, investor loans in New South Wales are up by 12% and Western Australia is up 10%.

The data shows investors are also returning to Victoria with lending up 9%, despite a major exodus by investors in the past two years because of increased State Government fees and levies.

Canberra is the only capital with a drop in investment loans – down 15% on the previous financial year.

Terri Scheer executive manager Carolyn Parrella says the market is favourable for sellers.

“With more than 90% of investment properties selling for more than their purchase price, the current market conditions could present a lucrative opportunity for property investors,” she says.