You can't leave your investment to chance. While real estate in Melbourne has seen median values go up by nearly 16 per cent in the last year (via CoreLogic RP Data), certain types of property will perform better than others.
Rather than blindly buy something and hope for capital gains, why not use the experts and make a purchase that is more certain to give you the returns you want?
Property investment in Melbourne: bigger isn't better
Property investment in Melbourne can be an expensive undertaking, in fact, REIV data shows the median price of homes in the city centre is a whopping $1,350,000. In response to these high prices, investors have begun fervently searching for more affordable opportunities.
REIV data shows they're increasing in value quicker than family homes in both Melbourne's inner and outer ring.
Property investment in two bedroom homes in Melbourne could be the solution. Due to their relatively affordable price point, these properties have been in high demand with young families, couples, downsizers and investors.
REIV data shows they're increasing in price faster than family homes in both Melbourne's inner and outer ring, at a rate of 14.7 per cent and 12 per cent, respectively.
Thanks to their low price point they also offer solid rental yields, and may be in higher demand, making their value increase further and making them easier to tenant and sell.
Choosing the right Melbourne property investment for you
Unfortunately there isn't one single best type of property for investment in Melbourne. Every investor's priorities differ, and every buyer will be looking for a different balance between affordability, cash flow and capital gains. Having said that, two-bedroom homes offer a unique opportunity here in Melbourne, and are accessible to even first time investors.
Find a good two-bedroom property in an up and coming and in demand area and you're likely to find property investment success. However, before you go diving in deposit first, make sure you get the best expert local advice you can find. With the help of someone who knows the market well, finding an investment property that helps solidify your financial future should be no problem at all.