· 78% of Perth investors and 76% of Brisbane investors believe their home markets are the best places to invest in 2021
· Perth voted best capital city for investment opportunities
· Investor confidence in the Sydney and Melbourne markets falls
Forecast by economists as the markets likely to lead the nation’s price growth, survey respondents from Queensland and Western Australia are increasingly bullish about the prospects of their local markets over the next 12-months.
Momentum Wealth General Manager, Jennifer Wakeman, said the positive local sentiment amongst Perth and Brisbane investors was driven by a number of factors.
“Perth and Brisbane share similar growth characteristics with both markets benefitting from tight rental and sales markets and an uptick in mining activity,” Ms Wakeman said.
“Population resilience throughout the pandemic has also benefitted Perth and Brisbane, and this is placing further pressure on these tight property markets.”
76% of survey respondents from Queensland selected the Brisbane market as the best place to invest this year, while local sentiment in Western Australia was even higher with 78% of WA-based residents believing Perth to be the location with the most upside.
Perth seen by investors as market with the most upside
Perth was also seen by investors as the best capital city market in which to purchase an investment property, with 48% of total respondents selecting the Western capital as their preferred investment location over the next 12-months.
This marks an 11% increase in investor confidence in the Perth market compared with results from the last survey and Ms Wakeman says this reflects the strong growth that the Perth market has experienced in recent months.
“After several years of downturn, WA investors are now seeing sustained growth, and confidence in the long-term prospects of the market is reflected in the high number of local investors who view Perth as the best place to invest.”
“Western Australia has seen a resurgence in mining activity which, coupled with the State’s effective response to the COVID-19 pandemic, has helped buoy the economy and provided a boost to investor confidence.”
Confidence in Sydney and Melbourne falls
Investor confidence in Melbourne has fallen by 7%, with only 10% of investors surveyed viewing the city as the best location to invest in 2021.
Meanwhile, confidence in Sydney remained low with only 8% of investors viewing it as the capital city market with the greatest potential.