CPII Survey June 2018
Crockers Property management has announced the latest results of the monthly survey of Auckland property investors it conducts in partnership with independent market research firm Ipsos.
- 57% of investors claim that if they were to purchase an investment apartment they would consider ‘professionally managed by a property management company’ more favourably.
- Since April 2016 there has been a 13-point increase in investors who believe that ‘being a positively geared investment’ would be the most important factor when buying an investment apartment.
- The Auckland Rental Property Investment Index has risen this month, due to an increase in those looking to expand the size of their investment portfolio and a decrease in investors looking to reduce the size of their portfolio.
Apartment Investment Options
Professional Property Management – Most Preferred for Investment Apartments
When buying an investment apartment, a property management company remains the preferred option for the majority of investors. This year there has been an increase in those who prefer to manage an investment apartment by themselves.
In interpreting these answers, we have to bear in mind that as the sample was sourced from Crockers’ newsletter recipients, a bias towards preferring property managers is expected.
Location, Freehold & Being a Positively Geared Investment – Most Important Factors
The most important factors when buying an investment apartment are location and freehold.
Compared with 2017, the importance of being freehold has decreased; this is perhaps a result of climbing apartment sales prices. Being a positively geared investment has increased further in 2018, a 13-point rise since April 2016.
Crockers Property Investment Index
Auckland Rental Property Performance Index
This month the Auckland Rental Property Investment Index has risen, as a result of an increase in those looking to expand their investment portfolio and a decrease in those looking to reduce the size of their investment portfolio.
In contrast, the Auckland Rental Property Performance Index has remained fairly stable this month, though it is still sitting at a higher level than June 2017.