Monday May 25, 2009

Demand for inner Melbourne apartments showing some signs of life but it's not rosy yet.
 
The global financial crisis is setting the scene for the next upturn in the inner Melbourne apartment market, according to leading industry analyst and economic forecaster, BIS Shrapnel. The company says low interest rates and very low vacancy rates, which are driving rising rents and high rental yields, will entice investors back into the market from late 2009. 

According to BIS Shrapnel's Inner Melbourne Apartments, 2009 – 2016 report, sharp reductions in interest rates over 2008/09 to well below six per cent has seen the gap between rental income and mortgage repayments narrow dramatically, which has significantly improved the equation for investors.

Contact: Angie Zigomanis