Signs of a renaissance in the Australian property investment market is pointing to strong opportunities for real estate agents and buyerโs agents, according to the Property Investment Professionals of Australia (PIPA).
โMarket forces are currently aligning to produce excellent property investment conditions in many parts of the country,โ said PIPA chair Ben Kingsley, โbringing with them a new wave of investment activity and great opportunities for real estate professionals, most notably professional buyerโs agents.โ
โWe saw four cash rate cuts throughout 2012 of 125 basis points, bringing the official cash rate in 2013 to an historical low of 3 per cent and, as a result, weโre seeing an abundance of very attractive home loan rates,โ he said.
โCombine this with very strong rental yields and low vacancy rates across many property markets, and the impetus to invest in property is stronger than itโs been in quite some time.โ
New figures released from the Australian Bureau of Statistics in April confirm that investment activity is beginning to gain momentum, with the value of investment housing commitments (trend) rising 1.5 per cent in February 2013, or $115 million, Mr Kingsley said.
Moreover, property prices are beginning to see some upward growth, as the property market gathers pace. According to RP Data, dwelling values across the combined capital cities recorded a 2.8 per cent rise in the March quarter โ the strongest result seen over the past three years, and a good indication the market is on its way up.
โAnd to top all of this off, Australiansโ mushrooming interest in property investment via self-managed super is only going to add to the opportunities in this space,โ Mr Kingsley said.
While increasing momentum in property investment spells obvious opportunity for any industry professional, there is opportunity for savvy operators to benefit even further, according to Mr Kingsley.
โBy undertaking further professional education to become a QPIA – Qualified Property Investment Adviser – buyerโs agents have the chance to really profit from growth in property investment activity,โ Mr Kingsley said.
Despite a lack of regulatory framework around property investment advice, any professionals that provide services relating to property investment can become formally qualified and recognised for their expertise through the PIPA Property Investment Adviser Accreditation Course.
โA QPIA is a formally educated, qualified property investment specialist who can advise investors not only on an individual property selection, but develop a long-term property investment strategy that meets the clientโs individual needs and long-term aspirations.
โWithout regulation of property advice, buyerโs agents who have the QPIA accreditation can not only claim to be ethical, qualified practitioners; they will have a significant advantage when it comes to attracting new clients,โ Mr Kingsley said.
Buyerโs agents can become a QPIA through PIPAโs Property Investment Adviser Accreditation Course.
Alternatively, any professionals active within the property investment space, including real estate agents, can simply become a member of PIPA, so that the public can identify them as a property investment professional within their field.
โProperty is always a great asset selection and there are always pockets of the market where opportunity abounds,โ Mr Kingsley said.
โAny professional who can extend their service offering to property investor clients is going to be very well positioned to grow their business and enhance their bottom line.โ
About PIPA
The Property Investment Professionals of Australia (PIPA) is a not-for-profit association established by industry practitioners with the objective of representingย ๏ฟผand raising the professional standards of all operators involved with property investment. Since its inception, PIPA has developed codes of ethics and conduct and professional standards of accreditation and education for the property investment industry, including a Property Investment Adviser Accreditation Course.ย PIPA is actively lobbying the federal government to bring property investment advice into a regulatory framework.
To find out more about PIPA or PIPAโs QPIA course, financial professionals can visit www.pipa.asn.au or contact the association directly on 02 4302 1624 or info@pipa.asn.au.