Top 3 Property Investment Myths That Hold New Investors Back

Top 3 Property Investment Myths That Hold New Investors Back

Property investing comes with plenty of advice—but not all of it is accurate. In fact, some of the most common beliefs about property investment are outdated or misleading. These myths can discourage new investors from getting started or cause them to make poor decisions early on.

In this article, we’ll debunk three of the most common property investment myths and explain what you need to know instead—so you can move forward with clarity and confidence.

Myth #1: You Need to Be Rich to Invest in Property

Many people assume that property investing is only for the wealthy. The perception is that you need a high income and a large savings balance just to get started.

The reality is that property investment is more accessible than most people think. In fact, according to the Australian Taxation Office (ATO), over 60% of property investors earn less than $80,000 per year—proving it’s not just high-income earners who invest.

Here are some of the ways everyday Australians get started:

• Low deposit loans: Some lenders allow you to invest with as little as 5–10% deposit.

• Leveraging equity: If you already own a home, you may be able to use your existing equity to fund your next purchase.

• Rentvesting: Renting where you want to live while investing in a more affordable growth location.

Truth: You don’t need to be rich—you just need a clear plan, the right loan structure, and a smart market strategy.

Myth #2: You Should Pay Off Your Home Loan Before Investing

Another common belief is that you must be completely debt-free before you consider buying an investment property. While being financially responsible is important, this mindset can actually delay your wealth-building potential.

Many successful investors use their existing position to invest sooner—and more strategically.

Here’s why paying off your home loan first isn’t always necessary:

• Opportunity cost: Waiting to invest could mean missing out on years of capital growth.

• Leverage and good debt: An investment loan can generate income and grow your asset base, while your home loan is a personal expense.

• Tax benefits: Investment properties may offer deductions not available on your owner-occupied home.

Truth: You don’t need to wait until your home is paid off. With the right finance structure, your investment can help fund your future.

Myth #3: I Need to Know Everything Before I Start Investing

Many aspiring investors hold off for months—or even years—because they feel they need to understand every detail of the market before taking the first step. While education is important, waiting until you “know everything” can lead to missed opportunities and unnecessary delays.

The reality is, no investor ever knows it all—especially in a constantly changing market. What matters more is having a clear strategy, trusted guidance, and the confidence to take action.

Here’s what helps you move forward without needing to be an expert:

• Start with a strategy: A clear plan gives you direction and helps you make decisions with purpose.

• Leverage professional support: You don’t need to do it alone—specialists can fill the gaps and reduce risk.

• Focus on progress, not perfection: You can refine and adjust your strategy as you grow.

Truth: You don’t need to know everything to get started—just enough to make your first move with clarity and support.

Bringing It All Together

These myths hold many new investors back from taking action—or worse, lead them down the wrong path. You don’t need to be wealthy, completely debt-free, or wait until you feel 100% ready. What you do need is the right support and a strategy tailored to your goals.

Ready to invest with clarity instead of confusion? Book your investment session with PropVest and let’s build a plan based on facts, not myths.

Disclaimer: This article is for general information only and does not constitute financial, legal, or lending advice. You should seek advice from a qualified professional before making any property or investment decisions.