Is the profit in the pudding with property investment?
It’s natural to be a little cautious about property investment. After all, it is a major commitment, and may feel like you’re crossing your fingers for a profit down the line! But really, there is no need to be worried. The right wealth coaching will guide you through investment options, and help you to decide where your money is best placed – and should show you that in the long term, property is an excellent way to generate capital.
It isn’t a way to become rich overnight, but it is a steady method of ensuring financial stability when you retire. You need not be afraid – the numbers are on your side!
The lucky (and profitable) country
Generally, one of your primary fears might be that your Queensland investment property would depreciate in value, leaving you worse off when you sell. But even looking at figures for the most recent quarter, you can see this isn’t the case for most people.
CoreLogic RP Data has released its Pain and Gain report, which shows the percentage of people that sold a property and made a profit on it during a set period of time.
In Brisbane during the first quarter of this year, 89.5 per cent of properties sold were sold at a profit. On top of this, more than a quarter of them were sold at twice what the buyer paid for them! This shows that the vast majority of people who have invested in Brisbane will be reaping fantastic rewards.
To make sure you aren’t part of the loss-making crowd, it’s a great idea to get the professional help of a wealth coach on your side as well.
Don’t think about tomorrow
This is good news for those who are interested in a quick turnaround, but what about those looking at the long term? Property can be a very safe investment for retirement – just look at the historic figures.
According to Macquarie University research, back in 1973 the median house price in Brisbane was $17,500 – less than most deposits these days! By 2003, it was $249,000 (not adjusted for inflation). What this shows is that in the long term, you’re going to see capital gains in your property – and profits when you sell years (or decades) down the line.
Still feeling a little unsure? Come in and talk to us at Think Money – we can point you in the right direction for smart property investment.