Melbourne and Sydney are undoubtedly the most popular cities in Australia. Melbourne attracts countless people into the city. Rich heritage structures, beautiful landscapes, high development and a great sporting culture make Melbourne an attractive proposition to shift base.
Travel guides will tell you that Sydney is the best city to visit in Australia. It’s home to the Sydney Opera House and the Sydney Harbour, two of the most popular tourist destinations in the country. The golden beaches of Sydney have their own set of loyalists from all across the world. Sydney is also regarded as the financial hub of the Pacific down under.
Education acts as a big pull for families in such cases. University of Melbourne and Deakin University are among Victoria’s best places to study. University of New South Wales and University of Sydney rank up there among the most sought after universities. The sheer reputation of these institutions attract not just local Australians but also overseas students into the two big cities.
The rate at which Melbourne and Sydney have grown is twice as much as other cities in Australia. A flourishing economy, good infrastructure and friendly interest rates have seen people flocking towards Sydney. The real estate prices in the city of Sydney has reached a stage where buying property in the city costs much more money. In fact, it features in the top 10 list of most expensive real estate properties in the world.
So does that mean that Sydney and Melbourne have reached a point of saturation? Property experts believe that the market is softening. Flatlines are appearing because of increased real estate prices which are driving people to settle outside of Sydney. As such, it isn’t a problem given that Sydney has a well-connected transport system and Australia has the whole continent to themselves.
Explore the Untapped Potential of Capital Cities
Property experts have advised investors to diversify their portfolio and put their money and faith in booming markets. Adelaide, Brisbane, Hobart and Canberra – major Australian capital cities have been touted to grow at a rapid pace.
Adelaide and Canberra have emerged as top contenders in the property market. Sydney may have seen flatlines in property growth but Canberra, for instance, has so many takers at this stage. It’s the national capital, a seat of all political activity which results in people actively moving out.
The Brisbane Boom
Reports suggest that the value of real estate residential housing in Brisbane has seen a sharp rise. Rapid construction has resulted in an oversupply in available housing. The real estate prices remain affordable for people to settle in. And it’s not just residents or fellow Queenslanders, a lot of inter-state migration has started taking place in Brisbane.
Brisbane is witnessing a lot of migration into the city which balances the oversupply of housing. With everyone earning largely the same levels of income, the time seems right to invest now in Brisbane rather than Sydney and Melbourne.
BIS Shrapnel expects median house prices in Brisbane to increase by 7% come June 2019. Brisbane has seen a jump in the number of IT and Finance firms setting up shop in the city and is one of Australia’s fastest growing economies. After Sydney and Melbourne, it’s the 3rd most visited city in Australia by tourists. The University of Queensland, Griffith University and Queensland University of Technology are prestigious universities that are attracting overseas students too.
Adelaide and Hobart are quieter cities but like Brisbane, have tremendous untapped scope for growth. Any fears of Sydney and Melbourne reaching flatlines may not be fully true as studies indicate that property buyers have been making close to $100,000 within 24 months of purchase and leasing out of property. But cheaper investments can always be made in the developing cities.
If you are looking to invest in Australia’s real estate, look beyond Melbourne and Sydney. There are more investment havens to explore. With an increasing number of interstate and overseas migrations taking place, Australia presents a great investment opportunity in real estate