Tag Archives: investment

Finding Hidden Profits In Houses vs Apartments

Are You Wanting Ridiculous Results From Your Assets In Context To Houses Or Apartments Which Is A Better Investment?

The short answer, it all depends on growth and performance with strategy for location and/or specific area.

Perhaps you don’t really know a lot about buying a home or investing in property. Are you always a little fearful of being tied to a mortgage?

Please note you must always do extensive research to ensure each property is either or a combination of the following elements:

  • Cash flow positive
  • High profit margins
  • High cash on cash ROI
  • High rental yield

And for this reason, houses and apartments are great investments…

houses vs apartments investment
Houses or apartments are golden investment opportunities…

There are specific streets, locations within cities and suburbs where houses outperforms.

It’s the same answer for apartments, it’s whether this type of asset outstrips performance of houses?

Why?

Because performance of any property type means it’s growth is determined by factors, location, growth rates and strongest demand.

What causes one to perform better than the other?

Is it the infrastructure in place which supports demographic mix and population growth rates?

Growth causes demand for specific style of property, right?

The demographics in every suburb or city identifies  whether there’s stronger demand for houses…

Or stronger demand for Apartments.

Step 1,  identify hidden opportunity in context to demand and how different property assets are performing.

median growth rates
Trend lines and data for median growth rates…

Data from Real Estate Institute of Australia shows the difference in price growth in houses and apartments from 1997 to 2009.

Can you see how the graph trends over a 13 year period with growth rates between houses and apartments are almost the same.

The median apartment price increased from $153,200 to $373,300
or 143.93%.

And over the same period houses grew from $183,100 to $458,100,
or 150.24%.

As you can see similar growth for both property types, how do you know what type of property you would invest in?

Property and suburb, one of the most influential drivers for demand
is demographics of specific area.

Demand causes one property type to grow faster than another.

See chart below from Australian Bureau of Statistics…

australian household size
Do trend lines, data, median growth rates support Australian household size…

See the number of people per dwelling in 1911 shows 4.5 people.

By 2011 on average the figure is less than 2.5 people per household.

2014 even more people are choosing to live in smaller sized dwellings
with fewer people per household.

An interesting growth expectation for 2026 (forecast by Australian Bureau of Statistics)….

The data suggests demand for new property by couples without children and single person dwellers.

Population growth requires almost double the number of dwellings today to accommodate the same amount of people.

In 2001, 1.8 million people lived on their own. According to ABS, this figure is expected to increase by between 57% and 105% by 2026.

*RPData, many new apartment developments are also being built in strategic locations, where a large proportion of market aspires to live.

The kicker for savvy property investors, can you see if marketplace can afford to buy a detached home?

Can you see good examples of these factors in your area?

Can you identify where apartment prices in the suburb are more affordable than a house?

Over a 12 months trend line have apartment values increased by 10% or more compared to growth of houses?

rpdata
Check out migration stats from rpdata…

If you analyze the data from month to month basis, does the annual value growth for apartments outperform that of houses?

The key here is consistently…

If you do research you’ll see individual capital city markets perform differently.

The growth cycles and trends for apartments has most likely in your area outperformed houses over the last 12 months.

What’s the differential between median house prices and apartment prices?

If analysed, you’ll see deeper insights into performance of the market.

capital city median apartment prices
Capital city median apartment prices

Capital city differential between median apartment and house prices

median apartment and house prices
Check out the median apartment and house prices…

Understanding data in context to population growth statistics, demographic shifts and property value trends.

It is crucial for the type of strategy and what type of property
to purchase, right?

Houses or apartments?

Do you need to know what’s the demographic demand for houses or apartments in any specific area, suburb or region?

You make a decision based on sound research.

Looking only at demographics is an important, you also want to understand affordability factor and returns on investment (ROI).

Which type of property is best?

As well as population growth and infrastructure investment planned?

Do all these trends work with variables to influence your investment property performance and houses vs apartments investments?

houses vs apartments investment
Are You Wanting Ridiculous Results From Your Assets In Context To Houses Or Apartments Which Is A Better Investment?

Houses vs Apartments

Buying Investment Property | How to safely profit from Australian resources boom?

Buying Investment Property 

Buying investment property? Are you a property investor you’re looking for opportunities before other investors hear about them, right? Want a high yield positive cash flow property?

Press the play button to watch this video, please watch and listen closely because the booming mining sector is offering you the greatest property investments opportunity in Australia today…

Buying investment property – Gladstone has always been an industrial powerhouse, although the queue of mega-­projects dwarfs most other infrastructure hotspots. There are two massive projects that have received the go ahead from companies concerned, LNG and Origin Energy.

In addition there’s a list of finance, personal investing ideas and strategies with colossal projects almost too big for this special real estate report, briefly these include an Alumina refinery, gas pipelines, coal port expansions and much more.

In fact, its big business with investments in coal seam gas to LNG industry which is the biggest with thousands of extra employees needed for ongoing operations and more during construction.

Buying investment property; here’s how to get instant access to your exclusive insider-only special report revealing why profits are set to soar. If you’re ready to take full advantage click here to buy right now for ONLY $495.00!

positive cashflow property
Positive Cash Flow Property - Buying investment property with goals of renting it out, the right location is key.

Want to find out why mining is supercharging the Australian economy? Keep reading because here are the investment rental property facts and why some regional areas are being targeted by savvy property investors:

  • Global organisations and government are investing heavily.
  • Properties located in this specific mining area are in prime position to benefit from billions of dollars pouring into this region
  • Demand is creating chronic under-supply of dwellings
  • Families, workers and new businesses are targeting mining areas to relocate, more accommodation is urgently needed to satisfy demand
  • Ready to go land is in short supply, putting upside pressure on property prices
  • Increase bottom line by adding additional safe revenue streams
  • Experience extreme rental returns of up to 15% and higher…

Get instant access to detailed report prepared by leading Australian Property Analyst. Simply
tell us where to send you this sought after Buying Investment Property Resource Pack (vaued at
$495.00), which can be yours today FREE!

Grab your special report commissioned by one of the four big Banks: 

  • Find out why banks describe the resources and commodities boom as one of the greatest economic opportunities in Australia’s history…
  • QLD Government report revealing the true extent of mining boom in coming decades and hard to find details allowing you to laser focus with pinpoint accuracy on areas set to profit

You’d agree a savvy property investors primary reason for buying investment property is to get capital growth over time and positive cash flow to increase their property wealth. Gladstone or Calliope is it right for you?

Calliope has a population of over 4,000 and Gladstone has a combined current population of 60,000. Gladstone is Queensland’s busiest harbour with $80 billion of estimated resource projects either under construction or in advanced feasibility stages.

In addition substantial investment is planned for more infrastructure, which means a substantial inflow of new jobs to the Gladstone region is expected to reach 10,000.

Queensland’s Department of Infrastructure and Planning estimate the workforce required to implement these projects can easily grow the local population in Gladstone region by 31% in first 5 years alone and more than double in size in 20 years.

Gladstone rental and residential sales markets have so much activity and resource investment in
the region this could be your opportunity to invest for long term growth, which Gladstone should
be able to deliver.

If you’re buying investment property with goals of renting it out, location is key. Homes in high-rent or highly populated areas are ideal. Gladstone, Mackay and Toowoomba are expected to experiance growth in 2012 due to the mining areas.

The Gladstone median house price increased 10.5% to $440,000 as recorded in Q3 2011.

Buying Investment Property: Mining, tourism and agriculture, are three major industries. Queensland accounts for 24 per cent of the total Australian mining production, 37 per cent of Australia’s beef production, and almost all of Australia’s sugar production…

Buying Investment Property