Powered by MOMENTUM MEDIA
subscribe to our newsletter

Investors confident in property market: Mortgage Choice

Most Australians are “optimistic” about the property market and are still willing to invest, despite reports of a slowdown, according to Mortgage Choice.

According to a Mortgage Choice research, 64.3 per cent of Australians believe that the property market will remain strong and suitable for investment in the next few years. 

“This data makes it obvious that the majority of Australians remain upbeat about investing in property and will continue to buy and sell dwellings,” Mortgage Choice chief executive officer John Flavell said. 

Mr Flavell believes that the research indicates that reports of a slowdown in the housing market have been overblown, despite CoreLogic data reporting property price growth of only 0.4 per cent. 

“[M]any market commentators have started to panic and are suggesting that this is the beginning of the end,” the CEO added. 

Advertisement
Advertisement

“Some commentators have even gone so far as to suggest we could soon see a property price crash across some of the bigger markets, notably Sydney and Melbourne. 

“The reality is, property prices are merely stabilising after a few years of runaway growth. This stabilisation is something we have long expected.”

The CEO attributed growth stabilisation to “significant changes” in investment lending policies and an inevitable correction of the initial growth spike spurred by a historically low cash rate.  

Mr Flavell also sought to dispel rumours of an imminent market crash, claiming that economic indicators, which would point to a crash, are in good stead. 

The Mortgage Choice head also cited figures from the Australian Bureau of Statistics saying that a population growth of 1.6 per cent in the year leading up to March 2017 suggests that supply must continue to keep up with demand. 

PROMOTED CONTENT


“If we want to cater to our growing population, we need to build more properties, and that is exactly what we are doing,” the CEO continued. 

He also encouraged Australians to continue pursuing their property investment interests. 

“If you have plans to be in the property market,” Mr Flavell said, “now is the right time to achieve your goal.”

[Related: Sydney prices ‘must plateau, or even subside’: Bernard Salt]

Investors confident in property market: Mortgage Choice
mortgagebusiness

Are you a new-to-industry broker in the process of growing your business? Then there’s some great news: The Adviser’s New Broker Academy is back in 2021 and will provide you with essential insights into cutting-edge tools, strategies and processes to fast-track to success. Don’t miss your chance to attend. To secure your FREE place, visit newbroker.com.au now!

Charbel Kadib

Charbel Kadib is the news editor on the mortgages titles at Momentum Media.

Before joining the team in 2017, Charbel completed internships with public relations agency Fifty Acres, and the Department of Communications and the Arts.

You can email Charbel on: This email address is being protected from spambots. You need JavaScript enabled to view it.

Latest News

The chief of Australia’s largest bank has said lenders should act pre-emptively and shift their floor rates for mortgage serviceability am...

Total household wealth reached a high of $13.4 trillion in the June quarter, primarily due to rising property prices, according to the Aust...

The property exchange settlement platform has been granted approval to establish an Electronic Lodgement Network in the ACT.  ...

Join Australia's most informed brokers

Do you know which lenders are providing brokers and their customers with the best service?

Use this monthly data to make informed decisions about which lenders to use. Simply contribute to the survey and we'll send you the results directly to your inbox - completely free!

How long do you think it should take to discharge a mortgage?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.