Statistics are beginning to show an increase in the number of property investors taking advantage of what has widely been spruiked as a “buyer’s market”. Not only is this evident in the increased numbers of buyers lining up outside open for inspections and attending auctions, AFG (the country’s largest mortgage brokering group) reported their mortgage sales hitting an 18-month high in August – that’s some $2.7 billion, with 38% going directly to property investors. Owner-occupiers are also on the increase, and according to the ABS, they have been for the past four months. Even first-home buyers are coming back to the fold. Mortgage Choice recently reported a marked increase in first home loans making up 35% of all loan approvals in June compared with an average 27%.
Considering all the evidence points towards purchasers increasing, not decreasing, why then is turnover 20% down on this time last year and also roughly 6% lower than this time during arguably the worst period of the GFC in 2008?