More than two million Australians currently invest in real estate, with property in Bendigo an increasingly attractive prospect.
According to Craig Webster from Webster Real Estate Bendigo, while the majority of investors are from the Greater Bendigo region, the past five or six years has seen people from capital cities focus on Bendigo because of the opening of the new hospital and its positive flow-on effects. That, and the foresight to look at regional cities as a means to diversify their portfolios.
“Steady returns is the most attractive aspect for investors,” says Craig. “They also attract low vacancy rates and compared to capital cities, steady capital growth.
“We find a lot of our investors are long term and many of them have done very well in a 10-year time frame.”
Craig says people are starting to focus on securing newer properties in Bendigo, as many of the older properties that were ideal for development are now few and far between and smaller subdivisions are more difficult to find.
“People are a little more astute now at finding something new with good depreciation and tax advantages,” he adds. “Anywhere close to the CBD is popular, and growth areas with infrastructure and amenities such as Strathfield are also attractive.”
While baby boomers and those closer to the end of their working life are more likely to invest in Bendigo property, Craig says young people are also entering the market for its investment opportunities.
Dream Design Property founder Zaki Ameer says the number of property investors has grown significantly in the past few years and is expected to continue to rise. “Like any form of investment, there are risks associated with buying real estate. However, if done properly, the rewards far exceed the risks.”
Zaki says successful property investors have the following in common:
THRIVE ON RISKS They aren’t intimidated by purchasing sites they haven’t viewed, as long as the facts and figures add up.
OUTSOURCE Having a wide network of professionals such as accountants, buyers agents, solicitors, and property managers means they are able to streamline the entire process.
ACT NOW Many investors spend excessive amounts of time contemplating and researching whether or not to purchase. The key is to know what’s happening in each market to capitalise on opportunities quickly.
MORTGAGE PAYMENT Successful investors have loans that are interest only so they can continue purchasing sites and increase their portfolio.
NON-DELUSIONAL Successful investors know property is a long term plan that won't make you a millionaire overnight.