With Australia’s economy easing, what does this mean for property investors?
Recent data shows inflation cooling to ~2.1% and a modest 0.6% growth in GDP for the June quarter. Lower inflation plus interest rate cuts are helping reduce borrowing costs.
For those wanting to buy investment properties, here’s what to watch:
- Lower rates can boost mortgage affordability, making investment purchases more accessible.
- But supply remains tight, which may push prices up and reduce bargain opportunities.
- Rental demand is still strong, keeping yields competitive in many markets.
- Be mindful of economic risks. Consumer sentiment is cautious, and long-term returns depend on timing, location, and finance terms.
If you’re thinking about investing, feel free to reach out if you’d like clarity on how these economic shifts could affect your plans.