For many years now property investing has been the primary wealth building strategy for over 1.5 million Australian property investors.
The housing boom combined with generous tax benefits, has ensured that property investing has become a cornerstone of achieving financial freedom.
Whether you be an experienced investor with a large portfolio, or a first time investor looking to buy your first IP, we can provide the strategic financial advice you need.
We are often asked by new clients why should they deal with DSF rather than their bank? The simple answer, choice. A bank will only offer you mortgage products from their limited range. We on the other hand, can provide lending products from over 30 lenders, including banks as well as non bank lenders.
Ultimately, the greater the range of options we can offer ensures that you get the ideal mortgage solution for your particular situation. Also every lender has different standard policies that apply. Understanding these policies and appreciating how they can impact our clients borrowing power is essential.
Property Market Challenges Facing Property Investors
It has become an increasingly difficult market for investors. Real estate prices are beginning to fall across Australia and rental yields are dropping quickly. Covid-19 and the weakness of the Australian economy are impacting the real estate market severely. There are many factors effecting the market.
- Tougher credit conditions with an growing emphasis on employment & serviceability.
- The blocking of our international borders has pushed thousands of Airbnb properties on to the long term rental market further reducing yields.
- Immigration is currently stopped and even when our borders are reopened it is unlikely to reach the previous high levels.
- In many areas, particularly in the apartment market, there is a growing oversupply.
- Decreased foreign investment in Australian real estate. This is partly due to Chinese government restrictions on capital outflows from the Chinese economy. This is further exacerbated by weakening economic indicators across China and the reduction of foreign students attending Australian universities.
- Additional State Government duties for foreign purchasers.
- Low wages growth and mass unemployment
- Record levels of personal debt. In fact Australia has the second highest level of household debt to GDP in the world.