Landlords know it. So do renters. But not all investors have caught wind of it yet. This country is going through a huge rental boom – and there’s no end in sight!

It didn’t happen this week, but the Reserve Bank of Australia has indicated it will consider cutting interest rates in the months ahead. Combine that with the fact that there are plenty of properties on the market to choose from and that rental returns are climbing higher, and you have some great ingredients for investment success.

But who knows how long this window of opportunity will stay open. A report from one economist predicts that interest rate speculation could spark a new housing boom. CommSec chief equities economist Craig James says: “With population growing at the fastest rate in 20 years and the rental market super tight, the risk is that rate cut speculation could spark a new rush into the housing market. The fear of being left behind, or even worse, shut out, was behind previous surges in house prices.”

As James points out, analysts who believe that house prices are set to fall have failed to come up with an explanation about where our growing population is going to live!

So while the rest of the country sits on the sidelines, waiting to see when the RBA will make its move, API is giving investors a head-start with an exclusive report in this month’s issue about the great rental boom and, more importantly, the locations where rental returns are getting hotter.

Published by:

Eynas Brodie
Editor, API magazine