Property Investor Confidence Surges
Investors are demonstrably more positive about the property market compared to the same time last year, according to a new survey by PIPA.
The national annual survey, which gathered insights from 1,200 property investors, also found that Labor’s proposed changes to negative gearing and Capital Gains Tax legislation heavily influenced the way that three- quarters of investors voted in the May Federal Election.
“It’s clear that many investors, regardless of their political leanings, were fed up with being told they were ‘greedy’ when the vast majority own only one property and are just trying to improve their financial futures,” PIPA Chairman Peter Koulizos says.
Koulizos says the survey indicated investors are prepared to look beyond the major banks to secure finance to invest.
“Difficulty obtaining finance, as well as the popularity of banks being on the slide over the past year, means that about 60% of investors are now more likely to consider a non-major bank lender, especially after the outcomes of Banking Royal Commission,” he says.
The survey found that 27% of investors had secured a loan from a non-major bank lender in the past year, the top two reasons being cheaper interest rates and increasing borrowing power.