Us Australians are a hard working bunch. We make a fair bit of money for our troubles too – the average salary in our country is almost $80,000, according to OECD data. That's higher than the average income for New Zealand, the United Kingdom and USA.
However, working for your money isn't always the best plan of attack. Making your money work for you requires less hours on the grindstone, and could mean a better financial future. That's where investment property comes in handy.
How much can you really make from Gold Coast investment property though? We've had a look at property's income potential and compared it to the average salary for a number of popular professions to help answer this question.
How much does the average Gold Coast investment property make?
To find out how much the average Gold Coast property investment could make let's use a mortgage-free home worth $500,000 as an example. CoreLogic data from the NAB Spring Housing Market report shows that Gold Coast property increased by 5.3 per cent over 2016 – that's a gain of $26,500 for our example property.
SQM research, on the other hand, shows that rental yields for Gold Coast units sit at around 5 per cent. That's a further annual income of $25,000, on top of the $26,500 we've already made from capital gains.
As you can see, if you manage to pay off your investment loan, you could be looking at annual profits exceeding $50,000 from your property. If property prices rise at a higher rate this year, you could be lucky enough to receive an even larger sum.
While this is an example, meant only for illustrative purposes, that's certainly a great deal of money to receive as passive income without spending a minute in the office or the yard.
How does it stack up to the average salary?
How does your salary stack up to the passive income earned by the average Gold Coast property? Is it more or less? Let's have a closer look at a Payscale's average salary data for a few professions around the Gold Coast to see how the average salary really stacks up to investment property income.
- Retail store manager: $48,745
- Accountant: $49,999
- Personal Assistant: $50,027
- Marketing manager: $58,031
- Operations manager: $64,895
As you can see the average salary for most professions in the Surfers Paradise and Gold Coast area is around the same as our example investment property. Only marketing managers and operations managers actually have a higher income.
Understandably these statistics have the potential to frustrate. It seems a little unjust that merely owning a property can bring in as much income as 40 hours in office or construction site. However, the average Australian should look at this as an opportunity, as with the right help and strategic planning anyone can invest in property.
Make the most of a thriving market
The Gold Coast's residential property market has gone from strength to strength in recent history and there are few signs that it will slow in the near future. Property investment isn't a walk in the park, but as you can see, in the current market, results speak for themselves.
If you want to take advantage of the Gold Coast's bright future, and perhaps bring your retirement a few years closer, consider investment property. Get in touch with your local real estate agency for help making your aspirations come true and you could be enjoying glorious passive income before you know it.