🧠 What it means to buy a “high-quality asset” or “investment grade” property in Australia, ft. Amy Lunardi & Pete Wargent

Amy Lunardi and Pete Wargent, expert property buyers agents, explain what we mean by “high quality” property assets and whether or not the idea of “investment grade” is a myth.

This is another 🧠 educational episode of The Australian Property Podcast.

On this episode of The Australian Property Podcast:

• Investment grade property 101
• Is it just marketing?
• What it means to buy a high-quality asset
• Do house and land packages make investment grade?
• How important is the location?
• Why does it help?
• What about your property strategy?
• Is everyone’s definition of investment grade different?

When buying a property, while there is no hard and fast number, because it depends on many factors, having 50%+ of the property’s value in the land would typically be considered good. The theory is basically that land appreciates and buildings depreciate – so having a building on a very cheap block may not deliver the results you want. If the land value is $100k, even a sharp 20% rise in land values doesn’t move the needle much. Noting Amy’s point that investment grade for one person might be different for another depending on circumstances. – Pete Wargent, Buyer’s Agent.