Invest
Have you fallen for these 3 property investment myths?
With the current state of investing in Australia, there are a few misconceptions that can confuse even the smartest investor. Here are three commonly held misconceptions. Be careful you don’t fall for any of these!
Have you fallen for these 3 property investment myths?
With the current state of investing in Australia, there are a few misconceptions that can confuse even the smartest investor. Here are three commonly held misconceptions. Be careful you don’t fall for any of these!
Knowing how to navigate the property landscape is vital as an investor, so equipping yourself with the right information is a must, just as much as discarding the wrong information.
According to Dominique Grubisa, lawyer, educator and founder of the DG Institute, these are four of the biggest commonly believed misconceptions about investing in property, and why you shouldn’t believe in them:
1. Lowered interest rates can only be done through negotiation
Because of pressure from APRA and the royal commission into banking, banks have been cutting back the number of interest-only loans, Ms Grubisa said.
The problem with this is many people who have five-year interest-only loans will be unable to find comparable finance when their loans expire, which can lead to severe mortgage stress.
“To simply ease this stress, you can use an ATO approved product called loan controller. The product is suitable for people with a home loan and investment loan and enables them to lower the interest rate on their home loan (where repayments aren’t tax deductible) and raise it on their investment loan to increase the potential for negative gearing,” Ms Grubisa explained.
“This can potentially improve your financial position significantly.”
2. Increasing property value in a weak market? You’re dreaming!
The state of the Sydney and Melbourne markets at the moment may discourage some into thinking that value growth is a far-flung dream, but there are still plenty of opportunities to find, according to Ms Grubisa.
“There are plenty of great deals available for the taking in a weaker property market if you can source finance and creatively add value to property deals. One strategy is for developers to form joint ventures with property owners,” she said.
“The owner supplies the property while the developer supplies the expertise and sources finance for the construction phase. This lessens the risk and upfront capital for the developer while giving the owner a share of the development’s profits.
“Another smart tactic is to take out an option on a desirable property. This means they can buy the property at any time in an agreed period, but they don’t have to do until they have finance, approvals and investors lined up.”
3. The market’s too costly to enter right now
“While millennials are often criticised for spending too much on smashed avocado, the reality is it’s far harder for them to buy than it was for their parents and grandparents,” Ms Grubisa said.
“One novel way around this is crowdfunding of property. This trend involves a large group of people coming together and pooling their money to fund a real estate investment and then sharing the profits generated. They might get a cut of the rental income that comes in, or if the development is sold, a slice of the sale price.”
RELATED ARTICLES
Property
Multigenerational living is moving mainstream: how agents, developers and lenders can monetise the shift
Australia’s quiet housing revolution is no longer a niche lifestyle choice; it’s a structural shift in demand that will reward property businesses prepared to redesign product, pricing and ...Read more
Property
Prestige property, precision choice: a case study in selecting the right agent when millions are at stake
In Australia’s top-tier housing market, the wrong agent choice can quietly erase six figures from a sale. Privacy protocols, discreet buyer networks and data-savvy marketing have become the new ...Read more
Property
From ‘ugly’ to alpha: Turning outdated Australian homes into high‑yield assets
In a tight listings market, outdated properties aren’t dead weight—they’re mispriced optionality. Agencies and vendors that industrialise light‑touch refurbishment, behavioural marketing and ...Read more
Property
The 2026 Investor Playbook: Rental Tailwinds, City Divergence and the Tech-Led Operations Advantage
Rental income looks set to do the heavy lifting for investors in 2026, but not every capital city will move in lockstep. Industry veteran John McGrath tips a stronger rental year and a Melbourne ...Read more
Property
Prestige property, precision choice: Data, discretion and regulation now decide million‑dollar outcomes
In Australia’s prestige housing market, the selling agent is no longer a mere intermediary but a strategic supplier whose choices can shift outcomes by seven figures. The differentiators are no longer ...Read more
Property
The new battleground in housing: how first-home buyer policy is reshaping Australia’s entry-level market
Government-backed guarantees and stamp duty concessions have pushed fresh demand into the bottom of Australia’s price ladder, lifting values and compressing selling times in entry-level segmentsRead more
Property
Property 2026: Why measured moves will beat the market
In 2026, Australian property success will be won by investors who privilege resilience over velocity. The market is fragmenting by suburb and asset type, financing conditions remain tight, and ...Read more
Property
Entry-level property is winning: How first home buyer programs are reshaping demand, pricing power and strategy
Lower-priced homes are appreciating faster as government support channels demand into the entry tier. For developers, lenders and marketers, this is not a blip—it’s a structural reweighting of demand ...Read more
Property
Multigenerational living is moving mainstream: how agents, developers and lenders can monetise the shift
Australia’s quiet housing revolution is no longer a niche lifestyle choice; it’s a structural shift in demand that will reward property businesses prepared to redesign product, pricing and ...Read more
Property
Prestige property, precision choice: a case study in selecting the right agent when millions are at stake
In Australia’s top-tier housing market, the wrong agent choice can quietly erase six figures from a sale. Privacy protocols, discreet buyer networks and data-savvy marketing have become the new ...Read more
Property
From ‘ugly’ to alpha: Turning outdated Australian homes into high‑yield assets
In a tight listings market, outdated properties aren’t dead weight—they’re mispriced optionality. Agencies and vendors that industrialise light‑touch refurbishment, behavioural marketing and ...Read more
Property
The 2026 Investor Playbook: Rental Tailwinds, City Divergence and the Tech-Led Operations Advantage
Rental income looks set to do the heavy lifting for investors in 2026, but not every capital city will move in lockstep. Industry veteran John McGrath tips a stronger rental year and a Melbourne ...Read more
Property
Prestige property, precision choice: Data, discretion and regulation now decide million‑dollar outcomes
In Australia’s prestige housing market, the selling agent is no longer a mere intermediary but a strategic supplier whose choices can shift outcomes by seven figures. The differentiators are no longer ...Read more
Property
The new battleground in housing: how first-home buyer policy is reshaping Australia’s entry-level market
Government-backed guarantees and stamp duty concessions have pushed fresh demand into the bottom of Australia’s price ladder, lifting values and compressing selling times in entry-level segmentsRead more
Property
Property 2026: Why measured moves will beat the market
In 2026, Australian property success will be won by investors who privilege resilience over velocity. The market is fragmenting by suburb and asset type, financing conditions remain tight, and ...Read more
Property
Entry-level property is winning: How first home buyer programs are reshaping demand, pricing power and strategy
Lower-priced homes are appreciating faster as government support channels demand into the entry tier. For developers, lenders and marketers, this is not a blip—it’s a structural reweighting of demand ...Read more
