mrd

Rob Kidd | The Courier-Mail | April 16, 2012

FAMILIES are flocking to Greater Brisbane’s northern fringes, with the Griffin-Mango Hill area named Queensland’s top “hotspot” for growth.

The Housing Industry of Australia’s 2010-11 report into hot spots – defined as a local area where population growth exceeds the national rate and where the value of residential building work approved is in excess of $100 million – placed Griffin-Mango Hill as the fourth-fastest growing area in Australia.

The report said the area had managed a 9.9 per cent rate of population growth – plus $106 million in approved residential building work – in the year ending June 2011.

Read more…

Thursday, 19 April 2012 | Real Estate Business

Beach towns could once again prove to be a hotspot for investors, with property prices rising in certain coastal areas

Figures from property research group PRDnationwide show there has been strong growth in some locations – with units appreciating at a faster pace than houses.

PRDnationwide’s head of research Aaron Maskrey said in the past year the best performing coastal town was Bells Beach in Victoria.

“Unit prices performed well, increasing by 24.5 per cent during the year ending December 2011,” he said.

“Similarly, house prices in Bells Beach increased by 5.2 per cent for the period.”

Mr Maskrey said the strongest area for activity has been the Gold Coast with 2,722 unit sales and 2,216 house sales in the second half of 2011.

In addition, there’s been a boost for median prices in Port Douglas – with units up 14.8 per cent to reach $310,000.

“Looking at the main coastal markets across Australia, many of them are set to reach the bottom of their property cycle over the year, making it a good time to invest in coastal property, given the past three years’ price falls,” Mr Maskrey said.

While the market is not expected to see double-digit growth in the near future, Mr Maskrey said it was still a good time to buy.

“For investors looking to buy for capital gains there are good opportunities out there,” he said.

“It is very location specific, with some markets faring better at the moment than others but coastal property can be a good investment if you buy in the right location.”

“Prices have become very competitive over the years, with vendors selling at a discount to meet the market.”

Areas where prices have fallen include Coffs Harbour, in NSW, where the median house price is down 2.6 per cent. Similarly houses in Queensland’s Whitsunday Region are down 1.7 per cent for the year.

Byron Bay, in NSW, experienced big decreases in median price for both units and houses, at 25.4 per cent and 19.3 per cent respectively, PRDnationwide found.

The research also revealed that four out of the top five beach town markets to have experienced the largest increase to the median price were for units, not houses.

For instance the research found unit prices in Yamba, NSW, performed well, increasing by 9.1 per cent during the year ending December 2011.

>>> Investors told to consider beach towns

By Michael Matusik | Blogspotting | 27th March 2012

“Home price slide hits mortgages” – “Increased number of homes with negative equity” – “Homes with negative equity on the increase”.

Just three headlines, from many, out of last week’s press.

Most articles started with variations of the following two sentences:

“The share of homes with mortgages worth more than the property’s value increased at the end of the last year as the housing market stalled and prices turned lower. The rise suggests an increase in negative equity, where a mortgage can be worth more than the value of a house.”

The Australian Financial Review – which really should know much better – started off by saying: “About one in seven Australian homes bought in the last five years is worth less than its purchase price. This potentially has pushed owners into negative equity.”

Read more…

By Terry Ryder | The Australian | 5th April 2012

I HAVE a conviction, one that is confirmed everywhere I go, that Australians do not comprehend the scale of what’s coming to our economy.

We’re on the threshold of the greatest period of prosperity in our history and there will be mega repercussions for real estate.

Few people get it.

Read more…

By Michael Matusik | The Courier-Mail | March 31, 2012

HERE’S some good news – Australia is expected to be one of the world’s fastest-growing nations, with estimates of our population heading to 35 million by 2050.

Why is this good? Well, the basic premise is that “more people” equates to greater demand for homes, cars, household appliances, services, and let’s face it, heaps of other things that will ultimately translate to a more comfortable lifestyle for all of us.

To quote Craig James of CommSec, “Population is power, lifting economic growth and momentum.”

Right now, the residential property industry is perched on the verge of better times.

House prices rose by 0.8 per cent in February and, while that might not sound like much, it is the biggest monthly increase in 18 months.

Prices rose in six of our eight capitals and in almost every major regional city, highlighting the strength of Australian residential property.

And further, we are seeing auction clearance rates hovering at about the low 60 per cent mark – with anything over 50 per cent suggesting that prices should continue to grow.

Other good signs: There is less resale stock on the market and levels have been falling since the beginning of the year.

And add to this our recent increase in migration.

The Australian Bureau of Statistics tracks the numbers of overseas arrivals (and departures), data which can have widespread implications for employment, tourism, spending and, indirectly, housing.

And here’s the encouraging part. In January, the number of people settling Down Under hit its highest levels in three years.

Close to 14,000 people are now arriving each month, compared to the lows of 9500 a month in late 2010.

On the downside, we anticipate just 135,000 new dwellings will be built across the nation this financial year – a drop against the 10-year average of 155,000 new homes a year.

While this slowdown is warranted, the recent rise in migration is expected to see new housing starts increase in coming years. In fact, our forecast is for 155,000 new starts across Australia during fiscal 2013 and up to 175,000 starts during 2013-14.

And Queensland is set to benefit the most.

Our forecast is that Queensland could double its new housing starts over the next two to three years, rising to 38,000 new starts during 2014.

With close to $135 billion worth of new resource projects under way across the state, coupled with $29 billion worth of new infrastructure projects being delivered across the southeast, the need for new housing is growing.

Much of this new supply – close to 70 per cent – will be needed in the triangle between Noosa, Coolangatta and Toowoomba.

See Also Nick Lockhart’s live presentation from May 2010 titled ‘How To Prosper In The Slipstream Of Population Growth’.

In this session Nick spells out exactly:

• Why Australia must (& will) have high immigration levels
• What impact population growth will have on the Australian economy
• How YOU can position yourself to ride the population growth wave to create great wealth

View Presentation >>>here

Property on the verge of better times | Reviews and Recommendations | The Courier-Mail.

Queensland’s Building Boost is now entering its final weeks!

If you want $10,000 of ‘money for jam‘ you need to act now!

This Building Boost Grant was due to end on 31st January but was extended by the Bligh Government until 30th April 2012.

Tomorrow’s election will see Campbell Newman become Queensland’s new Premier and we hope that he will allow the scheme to run full course… but he may not.

So at best you have 38 days remaining to exchange contracts and qualify for this $10,000 boost on any new property.

Watch the short video below and then contact mrd to discuss how you can get your hands on the $10,000 Building Boost… before it’s too late!

Click image to view short $10,000 Queensland Building Boost Video

Property Observer | By Larry Schlesinger | Monday, 26 March 2012

The Australian housing market has already enduring the ultimate test and is sturdy enough to sustain the current market pressures, says Commonwealth Bank chief economist Michael Blythe.

He says the Australian housing market went through “ultimate test” a few years ago in the wake of GFC and “came out the other side in relatively good shape”.

“That’s probably the best indication that we’ve not got a genuine bubble as we know them from historical experience.

“As an economist, I have to believe in the laws of supply and demand, and supply and demand in the Australian housing market is in a position to at least keep a floor under prices,” Blythe said as part of a panel discussion at the recent Australian Banking and Finance Mortgage Innovation Forum in Sydney

According to Blythe, talk of housing bubbles is nothing new and particularly comes up at times when the market is under pressure.

He says talk of an Australian housing bubble dates back to 2004.

“It’s been a persistent theme and a persistent question we get from clients, particularly from those offshore,” he said

Residential – Australian housing market sturdy and there is no bubble: CommBank’s Michael Blythe.

The Courier-Mail | March 22, 2012 | Michelle Hele

THE long-awaited recovery of Queensland’s housing sector might finally have started. 

The Urban Land Development Institute of Australia’s latest industry performance report reveals the key indicators of a recovery have all risen at a faster rate in Queensland in the past three months than in any other state.

UDIA director of policy and economic research Duncan Maclaine said building approvals, lending and the number of registrations of residential vacant lots were all up.

Private-sector dwelling approvals were up 5.7 per cent in the January quarter throughout the state and 17.5 per cent for the detached dwelling sector.

Lending for new homes increased 5.8 per cent and for existing homes it rose 1.6 per cent.

Mr Maclaine attributed some of the upswing to the State Government extending the $10,000 Building Boost for new homes.

REMEMBER: The Queensland Building Boost ends 30th April 2012, unless the new incoming State Government ends it sooner (perhaps as early as Monday 26th March)

To determine if you qualify for an investment property purchase and/or to discuss a responsible plan for you to move forward on your investment journey go >>>here

Read more…

Lucy Ardern | goldcoast.com.au | March 23, 2012

THE Gold Coast property market is coming back on the boil as investors give Melbourne, Sydney and Perth the cold shoulder.

Eighteen months ago the Gold Coast was a “dirty word”, according to Oliver Hume’s Queensland boss Brinton Keath.

Mr Keath said sales of land and apartments had plunged 30 per cent in Melbourne, while the Sydney and Perth markets were seen as over-inflated by buyers.

“People are looking towards the Gold Coast and southeast Queensland again,” he said.

Mr Keath said there was a lag in the numbers, but by the middle of the year the official sales data for the Gold Coast would show a surge in sales rates.

The suburbs attracting the most interest were Broadbeach, Robina and Varsity Lakes, according to Mr Keath.

Read more…

The Courier-Mail | February 18, 2012 | Kimberley Vlasic

BRISBANE rents are going through the roof as demand exceeds supply and forces prospective tenants into share accommodation.

Real Estate Institute of Queensland chief executive Anton Kardash said the rental property market in the past 12 months had been the tightest since 2007, with agents receiving an average of five applications per rental listing.

“Higher rents are, of course, driven by more demand than supply,” Mr Kardash said.

“However, the lower interest-rate environment means rent increases in Brisbane have not been out of step with the current economic conditions.”

He said the start of each year was traditionally the busiest time for the Brisbane rental market due to tertiary enrolments and job transfers.

Mr Kardash said the high demand could also be attributed to potential first-home buyers and investors sticking to the sidelines.

Statewide co-ordinator at the Tenants’ Union of Queensland Penny Carr agreed but also said that input costs rarely factored into rent prices.

“The reason people are finding it hard to rent is because the market is not expanding at a fast enough rate to accommodate the growing numbers of people looking,” she said.

“We’re seeing a lot of people sharing when they probably would rather not because of rent prices.”

Residential Tenancies Authority median rent data shows prices of units, houses and townhouses have increased by at least $90 in the past five years.

Three-bedroom units have jumped $160 to $480 a week from December 2006 to December 2011 and four-bedroom houses $125 to $475 a week in the same period. Property categories where rent has risen least include one-bedroom units with a $90 increase to $300 a week, and three-bedroom houses and two-bedroom townhouses, where there has been a $95 increase to $395 and $360 a week, respectively.

The RTA’s 2010 annual report found that more than 30 per cent of Queensland properties were rented, ranking it second in the country behind the Northern Territory.

Almost half of those properties are in Brisbane.

Houses in inner Brisbane and units in the remainder of the city also had the lowest vacancy rates last year, according to data published by the Queensland Government’s Office of Economic and Statistical Research.

Both were down 0.3 per cent to 2.7 per cent and 3 per cent, respectively.

“However, activity from both these types of buyers is beginning to strengthen, which will increase the supply of rental properties to the market,” Mr Kardash said.

• Send your question(s) to mrd >>>here
• Find out how much you could potentially borrow >>>here

Read more…