The more affordable an asset is the more demand because the asset is accessible by more people. The more demand there is for an asset the more potential for growth.
It’s worth keeping all of this in mind if the current hype associated with Sydney property markets is tempting you.
The typical Sydney apartment currently costs more than a typical house in Brisbane, Adelaide, Darwin, Canberra or Hobart.
Cost of living, which includes accommodation, has been a concern for Sydneysiders for a long time. It’s one of the main reasons why Sydney has been one of the worst performing Australian capital city property markets since the 2000 Olympic Games.
Astute investing requires an ability to not get distracted by (short-term) hype and an understanding of core fundamentals for investing in property (a long-term asset class).
