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A comprehensive 30-year study has proven that Australians love their property and they love to share it with every city.

Property Investment Professionals of Australia (PIPA) led the study to identify which cities were the hottest performers across the market cycles.

Chairman Peter Koulizos said that the research showed that no capital city market is the nation’s top performer indefinitely.

“The facts prove Aussie investors and home buyers over the past three decades have made solid returns across almost every capital city, depending on their ability to buy at the right time,” the chairman said.

Mr Koulizos said that, in 1988, it was Brisbane buyers who were blown away by the gains over four years before it crashed.

“These owners saw the value of their asset double in less than half a decade, yet between 1993 and 1997, Brisbane was the country’s second worst-performing market,” the chairman said.

The research also showed that the biggest capital cities also weren’t immune to rising and falling cycles.

Mr Koulizos said: “From 2003 to 2007, Sydney and Melbourne were Australia’s worst two performing capitals, despite topping the table the previous five years.”

From 1988 to 2017, Brisbane, Darwin, Melbourne, Perth and Sydney have all been at the top of the property table, with Melbourne, Brisbane and Perth being the only ones to have never bottomed.

Darwin has topped the list twice but has also been at the bottom twice and has most recently had the worst five-year period from 2013 to 2017 due to a 10.5 per cent decrease.

Perth, meanwhile, had the best five-year period with an increase of 139.8 per cent between 2003 and 2007 due to the mining boom.

Mr Koulizos said that throughout the 30 years, it was clear that the biggest gains were always made by identifying the market that had bottomed and were set to improve.

“Investors should seek independent qualified property investment advice to give themselves the best chance of getting the best returns on their money, as timing the property market can be just as important as time in the market,” the chairman said.


Eliot Hastie, Real Estate, 21 August 2018