A Changing Landscape

The stereotype of the typical landlord is fast changing. According to a recent report from ME Bank, from the six months to December 2013 over 15% of young singles were saving for an investment property.

A contributing factor to the changing demographic is quite simply the affordability of property prices in metro areas. As property prices continue to rise its becoming ever more expensive for a young person to purchase an inner-city or metro property, especially when there is often exceptional value relatively close by.

But why not owner occupy in the suburbs? It’s all about lifestyle!

I can speak from firsthand experience when I say this… the lifestyle associated inner-city living in itself has a value. Being in a position to purchase a property but perhaps not within an inner-city or metro location must not be a deterrent from entering the property market and you do not have to sacrifice the lifestyle you have become accustomed to.

It is simple and affordable enough to purchase a ‘non-metro’ property that will provide you with the same benefits as a metro property. Not only are the dwellings usually larger in size and land, if you are diligent enough you will can find and secure a property with a comparably higher rental yield where the difference between your monthly mortgage repayments and rental income becomes a rather small expense and by making only a small sacrifice on lifestyle allows you to continue to rent in the city and enjoy the benefits of both worlds; property ownership and inner-city living.

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