Investors Choose ‘Comfort’ in Investing in Property Over Shares

December 30th, 2013

Investors are choosing ‘comfort’ as the key reason to invest in property over shares, according to Property Observer.

A new online survey found that out of the 600 people that participated, around 50% find the property market a more attractive and comfortable investment option than the share market. This is due to low interest rates, a thriving housing market, and a volatile stock market.

Furthermore, Will Keall, Homeloans Ltd’s marketing manager, said that residential investment properties provide high and long-term capital growth and rental returns, as well as collateral security.

The Homeloans Home Buyer Barometer also found that one of the top reasons people are investing in property is to fund their retirement. Even parents are investing in property because it’s such a good investment to pass on to their children.

Two thirds of participants look at rental demand when choosing the property’s location. If they want to sell the property, other investors and owner occupiers will also find them appealing. But a property close to amenities and transport tops the list.

One third of participants plan to buy an investment property in 2014, in which 34% will be investing in property for the first time.