Country TW Real Estate Analytics

Property market metrics including price-to-income ratio, rental yields, and price trends

Price to Income

19.5x

Ratio of property prices to annual income

Rental Yield

1.3%

Average annual rental return

Price to Rent

74.5

Ratio of property prices to annual rent

Price to Income Ratio

Ratio of median house price to median annual household income

Rental Yield

Annual rental income as percentage of property value

Price to Rent Ratio

Ratio of property price to annual rental income

Apartment Rent (City Centre)

Monthly rent for 1-bedroom apartment in city centre

Apartment Price (City Centre)

Price per square meter to buy apartment in city centre

Apartment Price (Outside Centre)

Price per square meter to buy apartment outside city centre

1BR Rent (Outside Centre)

Monthly rent for 1-bedroom apartment outside city centre

3BR Rent (City Centre)

Monthly rent for 3-bedroom apartment in city centre

3BR Rent (Outside Centre)

Monthly rent for 3-bedroom apartment outside city centre

Mortgage Interest Rate (20Y)

Average mortgage interest rate for 20-year fixed loan

Additional Insights

Expert analysis of Country TW Real Estate trends and investment implications

Market Overview

Country TW's property market currently exhibits signs of overheating, evidenced by a high price-to-income ratio of 19.5 and a low rental yield of 1.3%. The market appears to be at or near a peak in its cycle, suggesting caution for new investments focused on capital appreciation.

Key Findings

Data-driven insights

•The price-to-income ratio of 19.5 indicates significant affordability challenges, suggesting possible overheating.
•Rental yields stand at a modest 1.3%, which are unattractive compared to typical mortgage rates and other investment opportunities.
•A price-to-rent ratio of 74.5 implies that it is more economical to rent than to buy, discouraging new purchases for primary residence purposes.
•Historical price growth has shown robust appreciation, but current metrics indicate a potential plateau or correction.

Market Trends

Historical patterns

•Over the past 50 years, property prices in Country TW have experienced significant appreciation with periodic corrections.
•Recent years have seen increasing affordability issues due to a steep rise in prices relative to income growth.
•Rental yields have remained low, influenced by high property prices and relatively stable rental rates.

For Investors

Actionable takeaways

•Consider waiting for potential price corrections before entering the market, especially for capital appreciation-focused investments.
•Focus on properties with higher rental yields, possibly in emerging neighborhoods or secondary cities, to maximize cash flow.
•Investors should compare rental yields against local interest rates to assess the opportunity cost of investment.
•For those holding property, it might be prudent to evaluate selling at current high valuations and considering re-entry post-correction.

Market Context

Country TW's property market is mature but currently exhibits characteristics of a peak market cycle. The high price-to-income ratio and low rental yields suggest caution, with potential for correction as affordability pressures mount.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.