Regional property prices have boomed in recent years, with many investors attracted to the potential for capital growth. However, it is important to remember that these markets are cyclical, and prices can fall as quickly as they rise.

One of the key factors driving regional property prices is the influx of investors. These investors are often looking for a way to diversify their portfolios and take advantage of the potential for capital growth in these markets. However, as soon as these investors stop buying, the market will likely stagnate or even fall back down to a level that locals can afford.

This is because regional markets are often reliant on a small number of industries, and if these industries suffer, the local economy will suffer too. This can lead to a decline in property prices, as locals are unable to afford to buy.

If you are considering investing in regional property, it is important to do your research and understand the risks involved. You should also focus on buying well in areas where there is affluence and where the local economy is strong. With the power of leverage and compounding, your high-quality investment will ultimately come out ahead.