A recent study by Great Southern Bank reveals a growing trend among Australian parents who are turning to property investment to strengthen their financial future. The research found that nearly half (48%) of investors are “mum and dad” homeowners who still carry a mortgage, while 14% are rentvestors—individuals who rent their primary residence while investing in property.
Property Investors Feel More Financially Secure
A survey of over 2,000 Australians highlights that property investors tend to feel more financially confident than first-home buyers. According to the findings:
- 44% of investors reported high satisfaction with their living situation, compared to 34% of first-home buyers.
- 41% of investors feel they are on track to meet their financial goals, outperforming owner-occupiers (29%) and first-home buyers (33%).
This suggests that property investment not only offers financial benefits but also provides a sense of stability and security for those who pursue it.
Houses Remain the Top Investment Choice
When it comes to investment preferences, traditional housing remains the most popular option:
- 68% of investors choose houses.
- 17% opt for apartments.
- 12% select townhouses.
Additionally, property investment is expected to remain strong, with 18% of respondents planning to purchase an investment property within the next three years.
Using Home Equity to Build Wealth
Many investors are strategically aligning their property purchases with long-term financial goals, often leveraging home equity to expand their portfolios. While some investors save separately for their next property, financial experts suggest that redirecting those savings toward an existing mortgage can be a more effective strategy. This approach helps reduce interest payments while simultaneously increasing usable equity, providing a more efficient path to investment.
Helping the Next Generation Enter the Market
Property investment is also becoming a tool for intergenerational wealth building. An increasing number of investors are leveraging their equity to help their children enter the property market in the future—without the need for guarantor loans.
With confidence in the property market remaining strong, more Australian families may explore investment strategies to secure their financial well-being and create opportunities for future generations. Whether through strategic equity use or careful financial planning, property investment continues to be a key wealth-building strategy for many.
Want to learn more about how property investment can work for you? Get in touch today to discuss your goals and discover the best investment opportunities available.