PHOTO: The volume of rental homes hitting the market suggests investors may not be able to get much in the way of rental yields either. Picture: AAP/Brendan Esposito Source: AAP
SYDNEY property investors have been dealt another blow on top of their current struggles to get financing from banks — the average rate of return on investment properties has shrank to the lowest level since the GFC.
CoreLogic’s latest Total Return Index, which measures annual value changes and gross rental yields to determine overall housing market returns, showed total returns on Sydney properties fell by an average of 2.5 per cent over the past year.
The fall was the weakest result since February 2009 when the economy was still in the grips of the global financial crisis.
The change suggested falling prices have dealt a major blow to investors’ ability to earn money off their investments.
READ MORE VIA NEWS.COM.AU