Property to cool, but hot spots remain

The Australian residential property market is likely to slow this year, but investors can still expect gains. Yet there are expectations for a property price dip in the longer term.

The 2013-14 financial year was good for residential property investors, especially in Sydney and Melbourne where dwelling values rose 15.4% and 9.4% respectively.

Across the nation, capital city dwelling values ended the financial year 10.1% higher. The broader market gains, combined with low mortgage interest rates, helped push many geared properties into positive territory.

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