Property investors flourish amid rising rates

Property investors who can weather the storm of the rising interest rate tide are being rewarded with some of the highest rental yields on record.

The increasing returns are driven by falling house prices and Australia's current rental crisis. For investors who outlast the storm, these conditions are beneficial and provide a unique opportunity to boost their rental income. 

In recent months, property investors have been increasingly active, accounting for a larger share of new loans than at any point since early 2020. Speaking to The Australian, Harry Triguboff, founder of Meriton Apartments and owner of 10,000 east coast apartments, said that rents in his apartments were increasing on a weekly basis. 

According to Proptrack economist Angus Moore, property investors typically make up a smaller market share than owner-occupiers and have become an increasingly important source of demand in recent years. As a result, the current investment activity increase will likely impact the Australian property market positively. Moore told The Australian, "If you're after rental growth, now is a good time. Rental markets are tight and rental growth is strong and is likely to remain so for the next half a year to a year."

This is good news if you want to invest in a rental property. Contact Concise Finance today and speak to us about how you can get the best value for your investment dollars.