But as interest rates have risen and growth has dipped, are investors leaving our sunny shores?
In a word, yes.
What is causing this?
One reason cited recently was the looming changes to Queensland land tax that were scrapped last week.
But that’s not the whole story.
We should also consider investor activity in the context of the broader national investor market. Investor lending has dropped across Australia.
Data from CoreLogic shows that investors and first home buyers have both retreated from the housing market in recent months. In July, the value of investor loans across Australia dropped by 16.1 per cent. For first home buyers, there was as drop of 15.8 per cent.
Buyers who are upgrading, downsizing or otherwise moving on, have not been as affected by the changing market conditions, with loans to ‘subsequent buyers’ dropping just 5.8 per cent.
And while overall investor activity has dropped on average, there are still pockets and properties that will hold appeal, so it pays to talk to a local agent to get to know what’s happening in your market of choice.
Meanwhile, as the interstate buyers go into hibernation, Brisbane locals can once again window shop – and buy – with a little less competition.
Ready to invest? View our current listings for sale or talk to us about landlording.
