Investors buying power plunges

Low yields, high mortgage rates, high deposits and interest deductibility changes are deterring mortgaged multiple property owners (investors) from buying, CoreLogic’s Buyer Classification Data shows.

While mortgaged investors’ market share drops, first home buyers and cashed-up investors share is running at record highs.

CoreLogic chief property economist Kelvin Davidson says the record low is slightly below the previous mark of 20% in September last year.

He says market conditions are particularly tough for mortgaged investors, most notably low rental yields, high mortgage rates and the removal of interest deductibility as a tax write off.