Property dwarfs all other forms of investment in Australia | Professionals Real Estate AU |

Property dwarfs all other forms of investment in Australia

Professionals Real Estate Latest News | Western Australia News 15th October, 2014 No Comments
Property dwarfs all other forms of investment

Anyone who owns a property appreciates that it is one of the biggest financial investments that they are ever likely to make. However, if you combine the collective wealth of all property owners together throughout Australia, the value of this total investment is enormous. The fact is that many people underestimate the scale and importance of the real estate market to the Australian economy. Because of regular publicity about the stock market, many people mistakenly believe that it is the biggest investment market in Australia. The reality is that residential real estate dominates all forms of investment in Australia with a current collective value of $5.5 Trillion.
Investment Markets in Australia by total Value
Residential Property               $5.5 Trillion
Superannuation                      $1.8 Trillion
Stock Market                         $ 1.6 Trillion
Commercial Property            $0.7  Trillion
Source RP Data
In fact, the value of the residential property market is nearly three times larger than the stock market which comes third in overall value next to Superannuation and then residential property. The residential property market is huge with stakeholders ranging from mum and dad home owners to investors who own several properties. This sheer size of the residential property market and its significance the overall Australian economy means that government is very sensitive to policy settings that might have a negative impact on it and this gives property investors a great deal of protection.
Australians love property because it is a safe and proven way to create personal wealth. It also has been shown to deliver a better return than the stock market over the long term. The results over the past 20 years reveal that Australian residential property returned a 9.9 per cent gain, beating both Australian shares at 8.7 per cent and global shares at 8.0 per cent. In addition, investing in property allows people to claim generous tax benefits associated with negative gearing as well as depreciation.
Professionals Real Estate Group understands the financial importance of property both at a national level and also at a personal level. As the most powerful force in the national property market with a nationwide network of offices, we provide an unparalleled level of service to our clients whether they live in Brisbane, Queensland or Albany in Western Australia. These comprehensive range services provided by Professionals cover residential/commercial sales and property management to name just a few. And they are backed up by a team of professional real estate personnel who are leaders in setting high standards in the real estate industry.
You can find out more by visiting or contacting your nearest Professionals Real Estate office.