Are strata apartments poor long-term investments?

Strata Snaps; May 10, 2021: Another short sharp pointer to interesting strata stuff …

Since half of all Australian strata title apartments are tenanted [see my article ‘7 + 3 Insights into 2020 Australian Strata Data'] it’s clear that they’re being purchased as good tax-effective real estate investments.

But, according to reporting in The Age, some initial results of studies using different analysis principles on long-term Melbourne residential properties by LongView tell a different story. On Longview’s analysis strata apartments showing 1% capital growth per year compared to established suburban homes that are achieving 7% capital growth per year as shown in the following chart.

Source: LongView

LongView is the latest venture by Evan Thornley who founded LookSmart, so he can’t be ignored or dismissed out of hand.

Thanks … @theage

https://www.theage.com.au/business/the-economy/weapons-grade-bulls-t-property-data-challenges-sales-blather-20210430-p57npk.html

May 11, 2021

Francesco …