For Bakos, the tax reforms had made the investment landscape more complicated, with some less experienced advisers potentially recommending asset classes beyond their knowledge base.
“Consumers must ask their advisers for their experience in recommending regional or commercial assets,” she said. “Do they understand the growth fundamentals of these markets, or are they simply chasing yield? Without proven expertise, investors could be steered into properties that look good on paper but fail to deliver capital appreciation.”
She urged investors to weigh cash flow against core growth considerations, including location quality, demand drivers, and supply constraints.
“Spruikers often emerge in times of policy change, promoting properties that may not withstand professional scrutiny,” she said. “Some of these higher risk properties may include internal floor areas that fall short of lending policy, or unusual title types that may require a significantly higher deposit than traditional residential options.”
Bakos said the Budget reforms had altered the tax settings but not the underlying principles of sound investment.
