NSW Property Investing Hotspots

With rate cuts dropping and with interest in purchasing properties on the increase, people are asking 'where'? Where are the hotspots?

John McGrath from McGrath.com.au sits in with Switzer.com.au and discusses where he thinks the next investment hotspots are, along with his opinions on what's happening in the property market.

Spring is when the prime properties go on the market and John mentioned 41% of approved loans last month were to investors - double what it normally would be  (figures from AFG -- the biggest broker in the country).

So there is definitely confidence in the market and in this report he discusses the most active suburbs in NSW for 2012, and what sort of rents that you can yield from them. John also offers his predictions for top suburbs in Sydney for 2013 (check out the 5'15" mark).

His pick for best potentially performing region?: Newcastle 

I did enjoy his "Audi Benchmark", I've been known to comment on the 'Audi Factor' myself in daily life. (7'45") So maybe you want to use this trick when looking at potential areas to invest in.

So what do you think about his predictions? Is he right on the money or way off base? Do you look for Audi's or are you more of a BMW person?