News

Home values continue to climb

By Kevin Kelly

Rising property prices are a major feature of Australia's economy, and one expert believes it could be some time before they start to come down again.

Cameron Kusher, RP Data's senior research analyst, explained how some people who have bought property in recent years are likely to have seen its value increase considerably.

As a result, these owners are using the equity stored in their home either to buy investment property or make improvements to their existing real estate. Many others have no plans for their money.

Mr Kusher highlighted that the landscape could change if interest rates were to start rising again, which would make paying down a mortgage more costly.

For the time being at least, property potentially offers lucrative returns if you're wondering where to invest equity in your existing home.

Demand for real estate in Australind is likely to increase further over the next few months, as official data from the Australian Bureau of Statistics pointed to a population surge throughout Western Australia.

During the year to 31 December 2013, the state saw its population grow 2.9 per cent compared to the previous 12 months, which was higher than all other parts of the country.

Up to Date

Latest News