Blog-Urban-LivingLooking at the wide array of home loan options that a mortgage broker is able to facilitate, you can feel spoilt for choice. From interest-only loans to mortgages specific to construction, there are types of lending for all kinds of property purchases. One particularly popular option is an investment home loan, which in itself has many forms. Overall the goal is gear your property correctly, but that still leaves the question: which type of property? Houses and units are the most popular types of residential property, and there are some factors to suggest the apartment market may be the way to go in 2015. Here are some of those reasons.

Approvals are rising

In a December 2 press release, the Housing Industry Association noted that multi-unit building approvals had spiked. Month on month, they had risen 30.4 per cent, much more than the overall increase of 11.4 per cent. While it was noted that multi-unit buildings require pre-sales to go ahead and are less likely to see construction than regular homes, this is still a significant boost. Anyone with an interest in investment should be on the lookout for these types of buildings popping up in 2015.

Prices are up more than homes in many cities

According to the RP Data Best of the Best report for 2014, many capital city suburbs saw higher unit growth than home value growth. Collating the top ten of each in the country’s capitals, Melbourne, Brisbane and Perth all had top performing units with higher median price rises than their home counterparts. Even in the other capital cities, units are not far behind in terms of price rises.

This suggests that to capitalise on growth in these areas, picking a unit in the right suburb could be more profitable than a home. As always, get the right advice before you buy, so you can make sure you get a property that suits your financial situation.

You can contact a Smartline Mortgage Adviser on 13 14 97 for home loan advice. Or complete our call request form and we’ll call you!

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DISCLAIMER: The information contained in this article is correct at the time of publishing and is subject to change. It is intended to be of a general nature only. It has been prepared without taking into account any person’s objectives, financial situation or needs. Before acting on this information, Smartline recommends that you consider whether it is appropriate for your circumstances. Smartline recommends that you seek independent legal, financial, and taxation advice before acting on any information in this article.