Canberra Property Investment

Canberra’s property investment market is set to continue it’s steady performance in 2017.

While Canberra property prices has felt some impacts from the federal government’s plans to cut the public service, it does not spell the demise of the capital’s workforce.

“As is typical, when time passes by during the first term of a federal government, it finds it more difficult to implement cuts than intended,” says Linda Phillips, economist for Propell.

The Australian Capital Territory still holds the second lowest unemployment rate in the country, second only to the Northern Territory.

Phillips says that as the situation is returning to normal, some growth in 2017 should be expected.

“Canberra real estate in general has better prospects for investment in the next year, though newer properties, or those with redevelopment potential, will do better than average.”

Overall, Canberra property market is seeing demand loosely keeping pace with supply. The Housing Industry of Australia (HIA) in its housing to 2020 report estimated that the higher rate of home building in the ACT in recent years has exceeded demographic demand and reduced the lag accumulated in the first half of the last decade.

Modest population growth has eased pressure in the Canberra property investment market.

Vacancy rates have edged up marginally and rental growth has slowed. The federal government has also prioritised spending away from the public sector.

Projections: 2017 and beyond

RP Data’s senior research analyst, Cameron Kusher, suggests that growth will continue but that buyers should not expect too much in the way of returns due to the market moving from a time of strong growth to a relatively flat period.

Canberra, the political centre of Australia’s federal government, has seen interesting times recently politically – and that’s had an effect on the Canberra property investment market. This uncertainty has continued with the ACT economy affected by public service cuts.

Because the entry level price for Canberra investment property is quite high relative to opportunities in Melbourne and Brisbane investors should do their research on value for investment outlay before proceeding locally.

Contact us for more information on recommended Canberra suburbs and locations.

Australian Property Investor Planning

Disclaimer

Please read this disclaimer carefully.

Information on this Internet site should not be regarded as a substitute for professional legal, financial or real estate advice. Because every investors needs and financial situations are different, the ideas on this web site are intended as a guide only.

Australian Property Investor Planning and its related entities responsible for maintaining this Internet site and its directors, officers and agents believe that all information contained within this Internet web site is correct. However, no warranty is made as to the accuracy or reliability of the information contained herein and Australian Property Investor Planning disclaims all liability and responsibility for any direct or indirect loss or damage which may be suffered by any recipient through relying on anything contained in or omitted from the Internet site at www.propertyinvestorplanning.com.au

Without limiting the generality of the aforegoing, no person, persons or organisations should invest monies or take other action on reliance of the material contained in this material but instead should satisfy themselves independently (by seeking expert advice or otherwise) of the appropriateness of any such action. Australian Property Investor Planning are not licensed financial advisors. The general information we provide is for educational purposes only. Whenever specific financial advice or financial product advice is required Australian Property Investor Planning refer you to licensed individuals who hold the appropriate licensing required by ASIC.

© Australian Property Investor Planning.

The subject matter on and accessible from the web site www.propertyinvestorplanning.com.au is copyright. Apart from fair dealing permitted by the Copyright Act 1968, Australian Property Investor Planning grants visitors to the site permission to download and display its copyright material only for private purposes. For reproduction or use of copyright material beyond such uses, permission must be sought directly from Australian Property Investor Planning. If given, permission will be subject to the requirement that the copyright owner's name and interest in the material be acknowledged when the material is reproduced or quoted, in whole or in part.