Aussies are keen to start investing in property. A recent survey revealed that three in four Australians surveyed are not stressed when it comes to researching for their first property investment.
The RAMS First Time Investor Survey 2014 suggests that first time investors are becoming savvier and taking advantage of the information and tools available to them in the market. The survey actually found that majority of first time investors (51%) said they would prefer to research an investment opportunity than have dinner with the in-laws (15.4%).
RAMS CEO Martine Jager said that while there are many tools available to consumers to help them make informed investment decisions, nothing will take the place of seeking out an expert. One in four Aussies surveyed also admitted they would need more support to kick-start their property purchase.
“With tools like the free RAMS First Time Investor Pack, understanding the steps involved in getting your foot on the investment property ladder is easy. However, while these tools can get you off to a good start, the most valuable tool in the buying process is still face-to-face expert advice,” Jager said.
The main concerns for first time investors are rising interest rates and dodgy tenants. Forty-three percent of respondents said they are wary about future rate rises, while eight in ten said they were worried about tenants damaging their property or not paying rent on time.
Despite nearly half of respondents saying they were wary of rising rates, the survey revealed that only a large increase would dampen their appetite.
“The survey results showed that interest rates would have to rise by 2% before first time investors would start to rethink their strategy – which means, given recent fixed interest rate cuts by some lenders, even if the rate direction changes suddenly, there could still be at least a year of strong demand left in the Australian property market,” Jager said.