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Surveys find more property investors are experiencing negative cash flow

01/05/2025

Surveys find more property investors are experiencing negative cash flow

There’s been a significant increase in the share of property investors who are negatively geared, due largely to the higher-interest-rate environment.

The Property Investment Professionals of Australia (PIPA) found that the share of property investors who were negatively geared rose from 57% in 2023 to 65% in 2024, based on surveys of investors.

“Just consider that 42% of survey respondents [for 2024] also indicated that their cash flows were tight with a further 11% indicating that their working income was not covering the shortfall currently, so they were drawing on savings,” PIPA Chair Nicola McDougall said.

“It’s clear that investors and tenants are both struggling in the high property cost environment at present, however investors are often doing without to ensure they can cover the shortfall between the rent they receive and the high costs associated with owning one or two investment properties.”

Get in touch if it’s been at least two years since you took out your home loan. The market has moved a lot in that time, which means there’s a good chance I could help you refinance to a comparable loan with a lower interest rate – thereby improving your cash flow.