Location In obviously a crucial component of property investment, but is choosing the right suburb enough? Or is it more important to find the right area, or street inside a suburb? The balance between risk and return (the latter being comprised of rental yield + capital growth) is a ratio that is a dynamic product of supply and demand, along with a range of core market fundamentals, that can help an investor pinpoint the property that is most likely to achieve desired outcomes.
Melbourne’s East vs West (in recent times) could almost be described as a tale of two cities with one side offering investment in established blue-chip suburbs and the other offering investment in up-and-coming suburbs that have a different ratio of yield vs growth. So where exactly should you be looking?
Perceptive Property Pty Ltd has close affiliations with real estate investment specialists that adopt a research based approach to uncover the suburbs that have the strongest growth prospects whilst also offering strong rental returns – at the right entry price. The right suburb for you will be identified based on your individual investment strategy and your primary investment goals.
Access to suburb reports that detail rental yields, vacancy rates, rental growth and capital growth provide a strong basis for decision making and are crucial when weighing up investment options. Often spending more on a property will not yield a higher return but in some instances, will increase the rate of capital growth. Your personalised investment strategy is fundamental to deciding which component of return is most important to you – rental income or capital appreciation.
Talk to us today to be put in touch with the best property investment specialists that source off-market townhouses in Melbourne’s growth areas.