Federal Election
With the 2025 Federal Election just around the corner, property investors are watching closely to see if any major announcements will impact the market. While it’s not uncommon for governments to take a cautious approach to reforms during an election period, we have seen some developments, particularly related to first-homebuyer initiatives.
Both major political parties have introduced significant proposals aimed at addressing the housing affordability crisis. These include measures designed to help first-homebuyers enter the market, which could drive demand and potentially push home prices higher. However, the overall impact on investors is expected to be minimal in the short term. The key focus of these policies remains affordability, but the real impact will depend on how they affect supply, demand, and market stability in the long run
Markets Jittery – But Property Remains Grounded
Global market volatility has been a dominant theme recently, with trade tensions between the US and China causing fluctuations in share markets. These tensions have led to declines in stock prices and short-term setbacks for superannuation funds, many of which are exposed to equities. This kind of instability highlights the value of diversification in investment portfolios.
At Future Assist, we continue to champion property as a cornerstone of wealth-building strategies. Despite the fluctuations in global markets, residential real estate remains a stable and reliable investment. Here’s why:
- Strong rental demand continues to drive steady income returns.
- Ongoing population growth supports long-term demand for housing.
- Low vacancy rates ensure that rental properties remain in high demand.
- Chronic undersupply of housing in key areas keeps pressure on prices and rents.
Unlike equities, property is not subject to daily price swings, providing stability and income-producing potential, particularly over the long term. Furthermore, property is less vulnerable to the geopolitical risks and international market movements that often affect other asset classes.
Looking Ahead
As the election draws closer, Future Assist will continue to monitor developments and provide timely updates to keep our clients informed. We understand that these uncertain times may raise questions about your investment strategy or superannuation structure.
If you have any concerns or would like to discuss how to adjust your investment approach, our team is always here to help.
Stay tuned for more insights and let us guide you through these evolving market conditions to help you make the most of your investments.
The information contained in this webpage is general in nature and has been provided in good faith, without taking into account your personal circumstances. While all reasonable care has been taken to ensure that the information is accurate and opinions fair and reasonable, no warranties in this regard are provided.
