It’s been a mixed picture for property investors this year, with houses outperforming units and smaller capitals outperforming larger cities.
Across Australia, median house rents increased 3.2% in the year to November, while median unit rents fell 3.1%, according to CoreLogic.
Perth, Darwin, Canberra and Adelaide were the only capitals that experienced increases in both house and unit rents, while Hobart was the only capital that went backwards in both categories.
Many commentators are forecasting property prices to grow in 2021, so next year might be a good time to buy an investment property.
If you want to enter the market, here are five ways to increase your borrowing capacity:
-
Pay off debts
-
Cut back on discretionary spending
-
Lower the limit on your credit card
-
Reduce or eliminate your use of buy-now-pay-later services
-
Look for ways to increase your income