PIPA In the News

Thu
28 Sep
2017

Australian property investors remain confidence about the benefits of residential real estate: PIPA survey

Australian property investors remain confidence about the long-term benefits of real estate, shrugging off concerns about stricter lending conditions, property price bubbles and oversupply, the third annual Property Investment Professionals of Australia (PIPA) Property Investor Sentiment Survey has found.

The national survey, which gathered insights from 742 property investors, shows that more than 70 per cent of respondents think now is a good time to invest in property, with 61 per cent looking to purchase a property in the next six to 12 months (up from 58 per cent last year).

However, concerns over changes to investor lending policies are looming large, with 43 per cent of respondents reporting an adverse impact in their ability to secure finance, compared to 32 per cent in 2016.

Rising rates on interest only loans were also a key concern, though the majority of investors (55 per cent) with interest only loans said they would not struggle to meet new principal and interest repayments.

Thu
28 Sep
2017

Broker demand soars amid credit crackdown

Demand for mortgage broker services has skyrocketed in the last 12 months, with over 80 per cent of property investors eager to secure funding through the third-party channel.

The 2017 PIPA Annual Investor Sentiment Survey, released this week, found that property investors remain resilient in the face of ongoing regulatory change and tighter credit.

Mortgage brokers are the winners in this story, with more and more investors turning to a broker for their finance needs.

PIPA's survey of 742 investors found that 83 per cent of property investors intend to finance their next loan through a broker, up from 71 per cent last year.

Meanwhile, over 73 per cent of investors said that they had secured their last investment loan through a broker, up from 65 per cent.

Wed
27 Sep
2017

Brisbane top pick for property investors despite fresh warnings over apartment risk

Brisbane is still the top pick for property investors despite concerns over an apartment glut, a new survey out today reveals.

The Property Investment Professionals of Australia national survey has found 43 per cent of investors prefer Brisbane above any other capital city when it comes to property.

After the Queensland capital, Melbourne is the second most popular investment destination (32 per cent), followed by Sydney (7.8 per cent).

The survey results come as financial advisory firm Ferrier Hodgson warns buyers are taking twice as long to settle on off-the-plan Brisbane units and Chinese investors are walking away from contracts.

The firm has found settlement time frames have doubled from two to four months.

Wed
27 Sep
2017

Investors remain committed to property

Investors remain committed to property and the sector's long-term benefits, despite of stricter lending conditions and property price bubbles and oversupply, according to the third annual Property Investment Professionals of Australia (PIPA) Property Investor Sentiment Survey.

The study, which surveyed 742 property investors, found that 70 per cent of respondents were of opinion that it was still good time to invest in property while 61 per cent declared they were looking to buy a property in the next six to 12 months.

By comparison, last year only 58 per cent of respondents said they had plans to purchase a property within the next few months.

Furthermore, the number of respondents who reported that concerns over changes to investor lending had an adverse impact on their ability to secure finance grew to 43 per cent from 32 per cent last year.

Wed
27 Sep
2017

Property investor confidence remains resilient despite pressures: PIPA national survey

Australian property investors remain bullish about the long-term benefits of residential real estate, shrugging off concerns about stricter lending conditions property price bubbles and oversupply, the third annual Property Investment Professionals of Australia (PIPA) Property Investor Sentiment Survey has found.

The national survey, which gathered insights from 742 property investors, shows that more than 70% of respondents think now is a good time to invest in property, with 61% looking to purchase a property in the next six to 12 months (up from 58% last year).

However, concerns over changes to investor lending policies are looming large, with 43% of respondents reporting an adverse impact in their ability to secure finance, compared to 32% in 2016.

Rising rates on interest only loans were also a key concern, though the majority of investors (55%) with interest only loans said they would not struggle to meet new principal and interest repayments.

Wed
27 Sep
2017

Brisbane remains top pick for investors as confidence in the market stays strong

Brisbane remains the top capital city pick for Australian property investors, a survey has found.

The national survey, conducted by Property Investment Professionals of Australia (PIPA), found investors are bullish about the long-term benefits of residential real estate and shrugging off concerns about stricter lending conditions, property price bubbles and oversupply.

More than 70 per cent of respondents think now is a good time to invest in property, with 61 per cent looking to purchase a property in the next six to 12 months (up from 58 per cent last year).

However, concerns over changes to investor lending policies are looming large, with 43 per cent of respondents reporting an adverse impact in their ability to secure finance, compared to 32 per cent in 2016.

Wed
27 Sep
2017

Investors have their say: confidence high, most popular capital city, and better regulation

An investor survey has revealed how Australian property investors feel about their confidence levels in their decision to invest, what the most popular capital city is for investors to invest in, as well as more calls for better regulation in the industry.

Confidence

The results of the third annual Property Investment Professionals of Australia (PIPA) Property Investor Sentiment Survey has found 70 per cent of investors believe right now is still a good time to invest, with 61 per cent looking to purchase a property within six to 12 months' time.

From a sample size of 742 respondents, the majority of investors are not troubled by issues restricting investors from investing, but the minority who are troubled are rising, as 43 per cent of respondents reported on an adverse impact on being able to secure finance, up from 32 per cent in 2016.

Mon
18 Sep
2017

What to look for when buying off the Plan

Investing in luxury off-the-plan properties can make a lot of financial sense, especially if you're savvy about the developers you choose and know they have a proven track record.  Rakhee Ghelani asked some experts in the field to highlight what to look for before signing on the dotted line. 

Ensure your rental return isn't soaked up by exorbitant fees by considering boutique properties."

 

Sun
17 Sep
2017

Sydney buyers showing their appetite for environmentally-friendly apartments

Sydney's home buyers are showing their green side as the appetite for environmentally-friendly apartments grows, experts say. And it's not just owner-occupiers behind the trend.

Unlike most investors, who purely chase financial returns, Blue Mountains couple Owen and Kerrie Sargeant, have a rather different plan for how they're spending their money.

"When I look at the type of buildings being constructed in many suburbs, it's just high-rise after high-rise," Mr Sargeant said.

Thu
14 Sep
2017

Using equity loans to expand your portfolio

More than half of all property investors are using equity in their homes or other investments as a means of paying for a deposit on another property. This is creating significant risks for investors and the broader economy, warns Lindsay David, founder of LF Economics.

"The Australian house of cards has ballooned through the use of issuing new loans against the unrealised capital gains of other properties in a portfolio," David said in his new report, The Big Rort. "This approach allows lenders to report the cross-collateral security of one property, which is then used as collateral against the total loan size to purchase another property. This approach substitutes as a cash deposit."

David said this practice places investors at a higher risk of default. His research indicates that those with an "officially listed [loan-to-value ratio] in the 50 per cent to 70 per cent bracket" are more likely to be close to default than those with a loan size that is at least 90% or larger.

 

subscribe newsletter icon