Old apartments could prove winning investments in 2017
OLD apartments could be the new winning bet for investors, according to real estate experts.
Wakelin Property Advisory director Paul Nugent said astute buyers could take advantage of the possibility retro units were undervalued this year after a “sluggish” 2016.
“There was a dampening effect caused by an excessive boom in the high-rise or multi-unit sector over recent years,” he said.
“But it is evident from ABS financing and building approval numbers that the much-needed correction in the multi-unit sector has begun, and prices and volumes of new supply in this category will continue to shrink over 2017.
“Consequently, there is a strong case to be made that period style apartments are undervalued at the moment.
“Indeed, with investors looking for safer assets in 2017, we anticipate a rush-to-quality out of high rise and into older-style apartments and houses.”