The search for value: Where can it be found in Australian real estate markets?
The Australian economy is one of the strongest in the world, representing 2.52 percent of the global economy, with close to 25 consecutive years of economic growth.
Australia’s real GDP growth, which is well ahead of the average of OECD countries and less volatile, slowed in 2014 to about 2.3 percent annually, however, with inflation less than 2 percent. These are “to-die-for” figures for many European economies, but they highlight a weakening of Australia’s economic fundamentals as commodity prices drop and Australia’s mining boom fades on the heels of slower growth in and demand from China.
So, what about investing in Australia today? The property sector is where crosswinds test any pilot, though investors can find very good pockets of value. If you believe location, location, location matters, then Australia’s proximity to the burgeoning economies of China, India, Indonesia and other Asian markets means the country