Positive Real Estate reports:
The meagre share market returns, rising property values and increasing yields in Australia???s current economic market is encouraging investors to return to the residential property market during 2008.
Craig James, Chief Equities Economist at Commsec, has been quoted saying that residential property prices will grow by 10 to 15 per cent in most capital cities this year while the share market returns will grow by only 3 per cent.
In addition to the rising value of property, we are also seeing an unprecedented rental demand as a result of our rapidly growing population. When you couple this with the undersupply of new housing, it results in much higher yields for investors.
