I believe there will be quite a few investment properties hitting the market in the next 6-24 months as they become more expensive to hold on to and fixed term IO loans elapse. This combined with your regular OO's looking to upsize/downsize should see enough supply hitting the market to satisfy demand. Those that have held their IP's for quite a while should get by as most are likely to be at least neutrally geared.
It could be the market beginning to correct itself or property in general may lay dormant for a while. No one really knows for sure. However, one thing for certain is that it's going to become a lot more expensive servicing any IO loan especially for those that have bought near the top of the market and rely on a minimum payment structure to get by. It makes for an interesting 24 months ahead regardless of whether the RBA raises interest rates or not.
The issue at play is debt. Eventually somebody needs to starting paying it down.
