Investment Property Ownership In Australia
Contrary to what the Australian Greens Party might suggest, investment property ownership is not exclusively driven by politicians and the mega wealthy
According to CoreLogic and ABS:
- The number of residential dwellings in Australia has lifted to 11. million
- The total value of Australia’s residential market rose to $10.3 trillion at the end of January 2024.
- There is a total of $2.2 trillion in outstanding mortgage debt for these properties
- 56.7% of Australian household wealth is held in housing
- The latest data from the ATO reveals that around 20% of Australia’s 11.4 million taxpayers owned an investment property in 2020-21 (this is the latest data available at the time of writing and was released in June 2023).
This equates to 2.24 million taxpayers in Australia being property investors. Collectively they own 3.25 million investment properties.The figures show that nearly 72% of investors own one investment property, around 19% own two investment properties and approximately 10% of Australians own three or more investment properties.
Latest figures from the ABS show an 18.5% increase in loans for residential investment over the past 12 months. This is in contrast to 12 months ago when loans to investors had declined by 34% compared to the same time in the previous year (2022), as investors feared increasing interest rates.
The new figures suggest that investors are regaining confidence and responding favourably to the national housing crisis and increasing talks of impending interest rate drops.
