A recent study by the Property Investment Professionals of Australia (PIPA) revealed how property love is shared across Australia’s markets.
PIPA Chairman Peter Koulizos emphasised that no capital city market can be considered as the country’s top performer across the board.
“The facts prove Aussie investors and homebuyers over the past three decades have made solid returns across almost every capital city, depending on their ability to buy at the right time,” he said.
Proving this point, Koulizos cited how buyers who bought in Brisbane in 1988 were blown away by the profits they have incurred over the next four years of such cycle.
He added that the owners were even able to double the value of their asset in less than a decade, but if you focus on the years between 1993 and 1997, you’ll find that Brisbane became the country’s second-worst performing market.
In other words, Australia’s largest capitals are not immune to cycles.
“From 2003 to 2007, Sydney and Melbourne were Australia’s worst two performing capitals, despite topping the table the previous five years,” Koulizos said.
“Of course, if you backed your judgment and bought in Sydney any time after 2007, you’d be very happy with your decision now.”
Given this information, it is important to note that while long-term investors invariably get ahead with Australian capital city real estate, the biggest gains were generated by knowing which markets are in decline, and which ones are set to grow.
“Investors should seek independent qualified property investment advice to give themselves the best chance of getting the best returns on their money, as timing the property market can be just as important as time in the market, ” Koulizos concluded.
