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Rick Otton Encourages Optimism Despite IMF Stats On Australian Housing Affordability(June 26, 2014)
(PRWEB) June 26, 2014
An International Monetary Fund (IMF) report released in mid June 2014 has caused concern in many areas of the housing market. The data, which was compiled by leading international economists and financial experts based in Washington, analysed 51 countries in the developed world and ranked Australia as the third most expensive market. In a new interview, leading real estate authority and highly regarded investor, Rick Otton, explained that there are many reasons why this is the case.
Australians benefit from being leaders in a lot of fields, but this may be an unwanted win" said Mr Otton. The IMF data shows that in the developed world, Australia is at an undesirable place in terms of housing affordability. The report essentially reveals that we have the third highest gap between how much people earn, versus how much houses actually cost explained Mr Otton.
Another interesting stat to come from the report, and one that will be of particular interest to property investors, is that we are also the fifth worst in terms of price-to-rent ratios, meaning rental properties return less than what we pay for them than 46 other countries he continued.
With statistics such as these, its no wonder that the feeling on the ground is that the property market is too expensive and inaccessible to many buyers and investors said Mr Otton. There is a staggering $1.3 million in the mortgage market in Australia, but investors are feeling as if a lot of that is tied up in overpriced assets, which is why many are losing money on their investments.
In expensive markets like this, many investors feel daunted and sit on the sidelines waiting for prices to fall. While this may be necessary if youre pursuing a negative gearing strategy, there are far more strategies and options out there to make money in the real estate market said Mr Otton.
I strongly encourage investors to not shy away from the property market, even when the data says its expensive. What I advocate is creative real estate strategies, which allow property investors to come out ahead in all market conditions.
Mr Otton has a successful iTunes podcast series entitled Creative Real Estate, through which he shares his strategies and interviews with other investors. The podcasts can be accessed, at no charge, at http://www.creativerealestate.com.au.
Australian property investment specialist, Rick Otton, has been developing, sharing and teaching his innovative real estate strategies for over 20 years. As the founder and CEO of We Buy Houses Pty Ltd, which operates in the US, UK, Australia and New Zealand he is known for introducing cutting-edge techniques that have enabled previously disenfranchised people to get out of the rental cycle and into their own homes.
His innovative low-risk, high-reward approach to Australian real estate investing has been featured in a variety of television programs and magazines, including Today Tonight, A Current Affair and Australian Property Investor. His real estate book, published in 2012, How To Buy A House For A Dollar, voted by Money Magazine and Dymocks Book stores as one of the Top 10 Most Popular Finance Titles for 2013.
As well as conducting free seminars, workshops and conferences in the UK and Australia, Mr Otton regularly loads free podcasts to his iTunes channel, Creative Real Estate. In these he shares examples of real transactions, and often has his students as guests who discuss the different ways they apply his teachings to their own clients.
These podcasts can be accessed, at no charge, at CreativeRealEstate.com.au.
Read the full story at http://www.prweb.com/releases/australian-housing/rick-otton-analysis/prweb11973052.htm.