Through the challenges and lifestyle adjustments during the COVID era, many investors made the decision to withdraw their rental property from the market in line with changes to legislation and conditions.
Skip ahead to 2023, and Australia’s focus is firmly on the resulted housing crisis, with a realisation that investors play a major role in fulfilling the need for housing supply to increase to maintain affordability and availability.
According to Realmark managing director John Percudani, this opportunity has attracted a new breed of property investor.
“What we're seeing now is that investors are increasingly active in the marketplace and that they have the capacity to compete, because the first home buyer competition is diminished,” he said.
“Realmark has clearly identified a shifting of the guard in the type of investor that's coming to play, both from a generational point of view and from an aspirational point of view.
“The contemporary investor appears to be one that is far more informed about where and what to invest in, but also their expectations of a property manager are vastly different to what we’ve seen traditionally.
“They're now looking for a property manager that, in some respects, is also the asset or investment manager, with maximising the yield, reducing the risk and maintaining the underlying quality of the asset front of mind.”
Mr Percudani believes not all property management organisations will have the ability to meet these expectations.
“Traditional suburban property management is struggling to be able to do this. Organisations like Realmark have a higher level of advisory which appears to be quite appealing to this more focused yield orientated investor.”
Investor participation is surging in the Perth and West Australian property market, as evident through financial arrangements being made by organsiations like Capita Finance.
“"In the last six months, we've witnessed a notable and significant increase in investment purpose loans,” said Capita Finance general manager, Brad Driffill..
“This surge has been quite remarkable, with the percentage of these loans soaring from approximately 15% to 23%.”
To talk to a property manager about how they can ensure your property is not undersold on return, ask to speak to Emma Thorpe at Realmark Urban by calling 9388 3911.
For assistance in entering the investment property market, Capita Finance can match you with a loan right for you.
Contact Capita Finance on 6323 9200.