- October 31, 2018
- Posted by: Rogers Property Group
- Categories: Australian Property Market, Latest News, Property Advice, Property Investment
When you break investment property right down to its made up of two simple parts. Land and Buildings. Its not then hard to see where the capital growth comes from – the Land. Building can be replaced and added onto however land is a something that cannot. What land we have cannot be replaced or duplicated. This land becomes scarce when it is close to a capital city and people want to be there.
This fact has been proven over the last few years in Sydney and Melbourne. In the FY 2018 land prices per m2 jumped by 27%. Compared to regional markets where land prices went up by only 5%.
The lesson. Land is king. If you are after capital growth, stay away from apartments and stick to house and land.