It’s easy to get caught up in current property trends, especially with a surge of rising interest rates and changing property prices. However, property has always been a worthwhile investment. We’re often told to ‘ride the waves’ of the property market, however, sometimes it’s just as important to get in. After all, you can’t play the game if you’re not in it.
You might remember the pre-pandemic dip in prices. However, the market still skyrocketed 24.6% between March 2020 and February 2022? As we approach the end of 2022 we have seen a reported decline in property prices. While this decrease might have you second-guessing your next move, it’s helpful to take a step-back and remember the long-term success of Australian property.
Australia’s proven track record in the market reminds us that while surges and declines come and go, property is still one of the most successful assets to attain.
Let’s Look Back Further
If you were caught a little off guard by the rapid market growth between 2020 and 2022, you might need to sit down as we take you back 30 years.
Reported by Core Logic, housing prices have increased by 382% over the past 30 years in Australia. This equates to an average annual rise of 5.4% since July, 1992.
What that performance tells us is that cycles of growth come and go, but property is always on the rise. Whether you buy in a buyer’s market, invest in a seller’s, purchase your first home while the rates are on the rise or in steady decline, your best move might just be making one.
To explain, let’s take a look at the top 10 growth areas over the past 30 years:
Top 10 Growth Regions Over 30 years
Yarra (Melbourne) 779%
Melbourne City (Melbourne) 760%
Gungahlin (ACT) 754%
Boroondara (Melbourne) 734%
Maribyrnong (Melbourne) 710%
Port Phillip (Melbourne) 667%
Marrickville – Sydenham – Petersham (Sydney) 660%
Eastern Suburbs – North (Sydney) 642%
Brunswick – Coburg (Melbourne) 636%
Mornington Peninsula (Melbourne) 633%
Top 10 Growth Regions In Sydney Over 30 years
Marrickville – Sydenham – Petersham (Sydney) 660.1%
Eastern Suburbs – North (Sydney) 642.1%
Canada Bay (Sydney) 626.1%
Strathfield – Burwood – Ashfield (Sydney) 625.8%
Botany (Sydney) 587.4%
Ryde – Hunters Hill (Sydney) 587.4%
Chatswood – Lane Cove (Sydney) 584.8%
Warringah (Sydney) 582.8%
Eastern Suburbs – South (Sydney) 575.8%
Carlingford (Sydney) 573.3%
Where to now?
While we might not have a crystal ball telling you exactly when to make your next property move, we can tell you that investing in property will always be beneficial in the long run. So, whether you’re thinking of buying, ready to sell or unsure about holding onto an existing investment property, as financial experts we have the experience and time to assess your current situation and provide tailored advice to help you on your property journey.
Speak with the team today to get started.
