Records show that most new property investors tend to be influenced by the masses buying at or near to the top of each cycle but the minority who reap the biggest rewards have purchased and settled long before the upward trend sets in according to RE/MAX WA MD and veteran property investment specialist, Geoff Baldwin.
“It’s an unfortunate fact that most people need to see evidence of something happening before they are willing to invest their money and hence they wait for the market to boom before they buy”, Mr Baldwin said.
“A smarter way to approach property investment is to study the historic economic cycles as they relate to property as this has proven to be a failsafe guide for investors for over 100 years.
“Although this last cycle has been longer than usual due mainly to the global financial crisis, it has been a cycle all the same comprising the boom years of 2007 - 2008 followed by rising interest rates, an easing of activity and prices, a lull in the market through to 2012 then falling interest rates, rental stock shortages, rising rents and a significant bounce in buyer activity into 2013.
“Since the beginning of this year we have seen stock levels plummet in WA to a 10 year low of around 6,000 properties, sales volume is way up and we are seeing more and more examples of multiple offers on properties with many properties selling above price expectation.
“For investors wanting to take full benefit from this upswing, now is the time to be entering the market and securing property before investing again become the fashionable thing to do.
“Most people 30 or over have, at some stage wished they had purchased a property at yesterday’s prices but right now a window of opportunity is wide open for investors to take action so they can look back happily with some nice capital appreciation and a healthy nest egg for the future”, Mr Baldwin said.
Media contact – Geoff Baldwin – 0413754414
Geoff Baldwin will host a comprehensive Property Investment Workshop on Wednesday June 12 from 6.30 till 8.30pm. For details or to book visit www.remaxwa.com.au
or phone 089440 5933