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Momentum Wealth outperforms the Perth market

Tuesday, 24th Jul 2018

Momentum Wealth properties have outperformed the Perth market by 2.07% annually, according to a recent appraisal of our property portfolio.

The appraisal compares Momentum Wealth purchased properties against ABS market averages for the same period.

“To put this into perspective, if this performance continued and the average Perth property were to experience annual growth of 4%, Momentum Wealth purchased properties would grow by 6.07% in the same period,” Momentum Wealth Research Advisor Shaun Strickland explained.

When the longer term benefit of compound growth is considered, investors can also experience exponential increases to the value of their property over time.

“In real dollar terms, a $500,000 property with these growth rates would compound to respective values of $740,122 and $901,354 after a period of ten years, with the Momentum Wealth purchased property outgrowing the average Perth property by an additional $160,000 in equity,” said Strickland.

Proven Methodology

Since our establishment in 2007, Momentum Wealth has completed over one thousand property purchases, with the recent appraisal revealing these properties now carry a collective worth of over $578 million.

Mr Strickland attributes this success to Momentum’s stringent purchasing criteria and ongoing commitment to market analysis.

“This is a true testament to our sophisticated buying methodologies, which have been underpinned by full-time research and analysis into key growth drivers of Perth’s property market,” he said.

“Through an intensive look at oncoming supply and demand drivers, proactive observation of planning changes and in-depth analysis into demographic shifts, we have been able to maintain our superior position in the market, ensuring our clients are better positioned to take advantage of market conditions.”

Momentum Wealth Managing Director Damian Collins says these results are underpinned by Momentum Wealth’s continued ability to identify suburbs that outperform the market.

“Despite the challenging market in previous years, our buyer’s agents and research team have been able to actively identify key pockets and individual properties that remain well positioned to profit from both short and long-term growth,” he said.

“Our research-driven strategies have brought Momentum Wealth clients resilience during tougher market conditions, placing them in a better position to leverage long-term growth.”

With stabilising rental prices and an uplift in housing demand now indicating the Perth property market is entering recovery phase, this sets Momentum Wealth investors in great stead to profit from more favourable market conditions in the years to come.