Investors purchasing property in Australia in order to rent it out should consider Sydney as an option, according to chief executive officer of Harcourts New South Wales Sadhana Smiles.
Lack of supply in the rental market is pushing up prices and making it difficult for renters, which could represent a potential opportunity for people planning to invest in residential housing.
The vacancy rate in Sydney remains below two per cent and is expected to tighten further in the coming months.
Although Ms Smiles warned that figures are being slightly affected by seasonal concerns such as people starting new jobs and moving to the city for university, she claimed the market offered good value for buyers.
"There are a number of cashed-up investors who are taking advantage of consistent market values, lower vacancy rate and interest cuts," the expert claimed.
Australians for Affordable Housing recently claimed that 450,000 renters in the country are struggling with housing stress.
Posted by Steve Douglas
