More people are recognising the opportunities that the regional Victorian market has to offer and seeking investment home loans to secure properties, research has found. The Real Estate Institute of Victoria (REIV) revealed that vacancy rates are falling across the area, which signals increased strength in the market.
October saw an increase in median house rents in Bendigo, Geelong and Ballarat, while apartments also became more popular over the course of the month. Demand is so strong for homes in Ballarat that some housing agencies have found it difficult to secure the accommodation they need for their tenants, the REIV noted.
Investors might want to take a closer look at Ballarat East and Sale, which saw the highest grossing returns during the 12 months to September 30 2014. The REIV urged anyone considering an investment in regional Victoria to take a look at various factors before making any decision. This includes opportunities for employment and access to services that tenants may require.
CEO of the REIV Enzo Raimondo explained that while falling vacancy rates are likely to be cause for concern for anyone in search of somewhere to live, they nevertheless give investors some of the assurances they need.
Some of the country’s largest cities have seen falls in their vacancy rates over recent months, as identified by SQM Research. The group revealed that in October 2014, the national vacancy rate stood at 2.1 per cent, down slightly from the 2.2 per cent recorded in September.
Interestingly, it was Melbourne’s vacancy rate that was the highest nationally, as it stood at 2.5 per cent over the month in question. This was closely followed by Perth, where 2.4 per cent of properties were without tenants.
Canberra was the only city to have seen a notable drop, as its vacancy rate declined from 2.1 per cent to 1.8 per cent month-on-month.
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