PIPA In the News

Fri
06 Apr
2018

How free property investment advice could cost you a fortune

When you think about the word "free" what does it mean to you?

For some people it means the freedom to do whatever they want — whether that's financial freedom or having no ties so you can travel the world. For others, "free" means something that costs you no money.

But, of course, nothing in this world is free — especially property investment advice.

In fact, free advice is usually worth what you paid for it.

Fri
06 Apr
2018

More Aussies are choosing fractional property investment

Due to the unaffordable prices in Australia's most expensive housing markets, many aspiring investors—particularly young people—are turning to novel forms of property investment, including fractional property investment.

Also known as property crowdfunding, fractional property investment allows buyers to acquire a portion of a property, enabling them to enjoy the benefits of property investment without the upfront expenses and hefty deposit.

Founded in late 2016, Sydney-headquartered BrickX has quickly gained traction, with more than 10,000 Aussies having used the online platform to invest in a portion of a house or apartment.

Properties purchased by BrickX are put into an individual trust and split into 10,000 units or "bricks" that are then sold off. Bricks can be bought and sold on the platform, for which the company charges a 1.75% transaction fee. Prices are determined by the market, with investors also receiving their cut of the rental returns after deducting property management costs.

Wed
04 Apr
2018

BrickX hits 10,000 investors as aspiring homeowners turn to fractional ownership

Building a property portfolio brick by brick is proving increasingly popular in Australia, with thousands of aspiring homeowners buying a portion of a home instead of an entire one.

Since it launched in late 2016, more than 10,000 Australians have used online platform BrickX to invest in a portion of a house or apartment.

It's one of a number of start-ups that has sprung up in Australia in the past few years to sate a growing appetite for fractional property investment.

Properties purchased by BrickX are put into an individual trust and split into 10,000 units or "bricks" that are then sold off.

Bricks can then be bought and sold on the platform, for which BrickX charges a 1.75 per cent transaction fee. Prices are set by the market, with investors also receiving their cut of the rental returns after property management costs.

Wed
04 Apr
2018

RBA cash rate remains on hold for April

Yesterday, RBA Governor Philip Lowe and the Reserve Board met for April—and in line with the forecasts of many analysts, decided to keep the cash rate on hold at 1.5%.

"No surprises there as both the Reserve Governor and the Board are flagging to industry and business that they're in no rush to move the rates higher anytime soon," said Ben Kingsley, chair of Property Investment Professionals of Australia (PIPA).

Kingsley said the reason why the cash rate hasn't shifted is because the Reserve Bank still wants to see stronger economic growth and "more pressure on wages".

According to Lowe, employment grew strongly over the past year, with employment levels rising across all states.

Tue
03 Apr
2018

How to choose a property advisor

Who do you ask for property advice?

With so many mixed messages and vested interests, who can you really trust?

Metrpole's recent Property Investor Consumer Sentiment Survey revealed the many and varied sources that property investors consult for advice.

But since most property investors fail to achieve the financial freedom they deserve, and with less than 8% ever owning more than 2 properties, a better question to ask would be...who should you be asking for advice?

Sat
24 Mar
2018

Brisbane's real estate boom

A survey of members of the Property Investment Professionals of Australia has revealed that Brisbane was regarded as the best capital city for property investment.

Apparently, cashed-up baby boomers from Sydney are just waiting to make a mint on their Harbour City homes and are queueing up to migrate north to buy cheaper property in the River City. Is that good news for Brisbane or will it simply make property more unaffordable?

Kieran Clair is the Director of Bricks and Mortar Media. Kieran is chatting with Loretta Ryan.


Thu
22 Mar
2018

Tighter lending biggest concern for property investment professionals

Property investment professionals are overwhelmingly positive about the year ahead, but tighter lending conditions remain a concern, according the 2018 PIPA Member Survey.

The annual survey, conducted in February, found that 100 per cent of respondents were optimistic about their businesses with more than half saying they would employ more staff this year.

However, the number one property market concern was the tightening of lending to investors.

Over the past 12 to 18 months, all investors have had to deal with the APRA restrictions, which lenders have faithfully implemented.

Wed
21 Mar
2018

Sydney offering the least for investors, Brisbane offering the most

A new survey has found investors believe Sydney is least likely to offer investment success over 2018, while the majority see Brisbane offering great prospects.

According to the The Property Investment Professionals of Australia (PIPA) 2018 Member Survey, 3.85 per cent saw Sydney as a viable capital city to invest in, compared to 11 per cent last year.

Sydney was tied with Canberra and Hobart, while Darwin placed dead last, with no-one believing it was worth an investor's time and money.

Meanwhile, 46 per cent of respondents said Brisbane was worth investing into, coming in first for the second year in a row.

Mon
19 Mar
2018

Aussie capitals that offer solid investment prospects

A mere 3.85% of property investment experts believe Sydney offers solid prospects this year, a major drop from 11% in 2017, according to the Property Investment Professionals of Australia's (PIPA) 2018 Member Survey.

Nearly half (46.15%) of respondents said Brisbane offered the best investment prospects for 2018. The Queensland capital was also the top pick by property investment professionals last year, with 44% of respondents selecting the city.

Melbourne was picked as the second best location for property investment this year (19.23%), down from 29% in 2017.

The third pick was Perth, which has shown signs of recovery over the most recent quarters. About 15.38% of respondents said the WA capital offered the best property investment prospects for 2018, a significant increase from 3.7% in 2017.

 

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