Melbourne and Sydney will continue to be the the best investment destinations for capital growth over the next five years, according to a new survey.
A Metropole Property Strategists' latest survey of 2,700 investors has highlighted the two cities as investors' favoured options for growth in the medium term, with 26% of respondents arguing for Melbourne and 25% picking Sydney.
Metropole CEO Michael Yardney highlighted that many investors feel a change in government will be beneficial to the Sydney market.
"Speaking with a number of Sydney investors, many feel confident a change of government at the forthcoming election will be good for property," he said. "In the past the property market has tended to slow down before an election and a change of government is likely to renew confidence and bring investors back into the property markets."
Brisbane was selected as the third most popular investment destination, with 17% of respondents choosing it as their pick for capital growth. Yardney added that this was a promising sign that investors are looking beyond the recent natural disasters and "feel confident about investing in property in the sunshine state".
The survey also revealed that, while two-thirds of those surveyed believed there would be little or no capital growth this year, 64% were still planning to buy an investment property this year.
"This survey clearly shows that Australians are still confident to put their money into property this year," added Yardney. "They see the current buyer’s market as a time of opportunity, even though they do not expect property values to rise strongly this year."
