Getting on the property ladder

It’s no secret that property prices have been rising in many parts of Australia. Inner-city suburbs that used to be bargain hunters’ paradises are now unaffordable to first-home buyers. Suburbs and towns at a distance from major cities have become trendy and expensive.

You can still get a foot on the property ladder, though. It just may not be the same ladder so many before you have climbed.

Think outside the box

It’s natural for first-time investors to think about areas they should have invested in years ago. Savvy property investors did just that, but they did it at a time when other investors were looking elsewhere. They got in early and profited from their foresight.

Opportunities exist today, too. You just have to think outside the box. Here are some examples of up-and-coming areas the property pundits have their eyes on.

Morayfield, Queensland, is a lovely community 40 kilometres north of Brisbane. Its population is growing, but family homes are still available at a fraction of the price of houses closer to the Brisbane CBD. The median house price in this suburb is $325,000.

Seville Grove, Western Australia, is about 35 kilometres outside Perth. Prices are still reasonable, but new roads and railway links have made it more easily accessible to Perth. To own a little piece of Seville Grove you are looking at a median house price of $388,000.

Karabar, New South Wales, is in a beautiful setting overlooking bushland and mountains on the outskirts of Queanbeyan. Prices are beginning to rise as buyers discover this previously overlooked suburb. Karabar’s median house price is $435,000.

Do you see a pattern emerging in these examples? They are all suburbs a little off the beaten track that have been overlooked in the past.

Features to look for

If you are looking at suburbs that are up and coming there are a few features that will keep the value of your property in good stead for years to come. Research the area to look at local schools, transport lines and amenities.

Research any developments in the near future which may improve the suburb, like shopping centres or new train lines. It could be a few years until you can enjoy these local perks but the value of your property may increase as more people are drawn to the area.

Do your homework

All the tools you need to take the guesswork out of investing in property are at your disposal:

• Property guides can show you what houses are selling for and how much rental properties can fetch.
•  The APM Price Guide can give you the latest auction reports, tell you in real time where the fastest growing suburbs are and much more.
• For a small fee, you can download APM’s Property Pro and get inside knowledge about real estate trends in the postcode of your choice.

Think outside the box and do your homework and you will discover there is as much opportunity for property investors today as ever. You’ve got your foot on the ladder. Now start climbing.