Home News Do regional properties stack up?

Do regional properties stack up?

Font size :

When it comes to capital growth, inner-city suburbs have consistently outperformed their regional counterparts. However, the worsening affordability crisis is prompting many prospective property buyers to cast their nets further out into regional areas.

"It seems clear that regional Australia has developed more strings to its bow," says Mark Rodrigues, senior economist for ANZ. "Stronger population growth has fuelled demand for all manner of services, from restaurants, cafes and pubs, to schools, medical centres and banks. At the same time, a burgeoning tourist trade from city dwellers on short weekend breaks has placed further demand on regional infrastructure."

The expanding regional property market
Economists and investors alike are excited about the future of the Australian regional property market, with some property experts forecasting big things for specific regional towns, which may have previously fallen under investors' radars.

Tim Lawless, research director for RP Data, says Queensland's coastal and hinterland townships - such as Sarina (south of Mackay) and Barney Point at Gladstone - offer investor affordability and good capital gains.

"Resource industry workers are looking towards these areas for the lifestyle benefits of being close to the water, while at the same time close enough to commute to work," explains Lawless.

Rodrigues says that while there are certainly examples of regions doing it particularly tough at present, Australia's regional economies are performing very well. "Consistent with the rosy national economic picture, regional Australia has gone from strength to strength in recent years; population growth has accelerated, construction is booming and new jobs are being created at a healthy pace," he says.

Other signs of regional market health include:
• Resilience continues to be tested by a combination of drought, higher interest rates, record oil prices and a strong Australian dollar
• The unemployment rate is the lowest in a generation and continues to fall in more than one-third of areas
• Northeast Victoria's unemployment rate is a very low 2.3%
• South Queensland's unemployment rate is just 2.7%
• The labour market remains strong despite drought conditions

Read the full article and other tips on how to invest in regional properties in the latest issue of Your Mortgage magazine, on sale now.

Whether you are looking to buy your first home, move home, refinance, or invest in property, a mortgage broker can help. Access loans from all the major lenders, get help with paperwork – plus there is no charge for this service. Get help from a local mortgage broker

Mortgage News and Articles

Choosing the right mortgage is hard for many first-home buyers Choosing the right mortgage is hard for many first-home buyers

Many feel overwhelmed by the sheer range of products and interest rates on offer, a new survey reveals Read more

Mortgage applications drop in second quarter Mortgage applications drop in second quarter This marks the “beginning” of a downward trend, says Equifax executive ... Read more

To break monopoly, many smaller lenders could become banks To break monopoly, many smaller lenders could become banks The proposed change could break the Big Four’s monopoly over the mortgage market and help families get cheaper home loan rates ... Read more

Borrowing against the home: A strategy to pay for aged care Borrowing against the home: A strategy to pay for aged care Such debts can generally be divided into long-term and short-term loans ... Read more

More mortgage news and articles

Sponsored Links

Monday, Jul 24, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Whether you're a first homebuyer, looking to refinance, or investing, it's important to have the right loan for your needs. Just fill in a few details below and one of our trusted mortgage advisers will contact you.

A quick & easy way to find the right home loan
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords