Property investment popular amongst Australians
Property investment has always been an extremely popular method of wealth accumulation for Australians across the nation. With the relative ease of buying a house and turning it into a rental property, it has become something that is accessible to a lot of people.
A recent report has highlighted just how much Australians love investment property, as well as how much of a role it plays in their daily lives. This could be extremely interesting to anyone considering purchasing investment property in the near future.
The Blackrock Investor Pulse Guide for 2013 was a survey conducted across the globe, involving 12 countries and 17,600 individuals, in order to gauge their attitudes towards the financial market, economics and housing investment in general.
There were 1,000 people surveyed from Australia between the ages of 25 and 75, with varying degrees of income. In the survey there were two different income levels observed - less affluent and more affluent.
Less affluent respondents were described as individuals who earned less than $150,000 per annum, or households that earned less than $160,000. On the other end of the spectrum, affluent respondents were those who earned above this threshold.
It turns out that Australians were the most attracted to investment out of all the nations surveyed. They were more interested in paying off their home loan as a chief financial priority, with 28 per cent of Australian respondents ranking this highly.This is opposed to 23 per cent from the rest of the world.
Australians also thought that saving up the minimum deposit for a home loan was a high priority, with 17 per cent of respondents stating this. This compares with just 13 per cent of respondents from the rest of the world.
The rate of investment in Australia was also relatively high compared to the rest of the world, which could highlight the demand for investment property in the nation. As a gauge of popularity, 15 per cent of Australian respondents stated they owned investment property.
Comparatively, the rest of the world only rated a low 12 per cent. However, Australia was down below Hong Kong and Taiwan, which rated 20 per cent and 19 per cent respectively.
Furthermore, it was the more affluent earners who owned investment property in Australia, with 35 per cent of these respondents stating they had one or more investment property. This compares with just 5 per cent of the less affluent respondents.