Will Brisbane Continue To Rise Or Are We Set For A Crash n Burn?
3 minute read...
This time last year I was coming off the back of my Christmas holiday and ready to get into a new year. Difference being, I wasn’t half as busy as I am this year.
Seemingly, the Brisbane property market has powered through the December / January 2018 period and word on the street amongst my agent network is that it doesn’t seem to be slowing down anytime soon.
Packed open homes and multi-offers are still the norm and even some units are nabbing the attention of investors despite Brisbane being hit with the unit ugly stick all throughout last year.
Could the tide be beginning to turn in the apartment market?
The media tells us that Brisbane is oversupplied with apartments and I’ve been singing a similar story but from what I’m hearing now, there are certainly some units around town that aren’t staying on the market for long.
Whenever I’ve had a busy start to a year, or the merger of the end of the last and beginning of the new has felt like I never stopped for an end of year break, it’s often a sign that the property market is off to a good start and we could see some growth in the coming months.
But I reiterate that word, COULD.
No one can ever be sure what is going to happen in a market, and all we can do as investors is read the signs, understand what drives capital growth, and take action with our gut feelings in check.
Yeah I know the “experts” will call me out for being wishy washy here, but I honestly believe that is all one can really do.
But aside from this, one thing I know for certain in my 20 years playing this real estate game, is that I’ve never seen a major Australian capital city property market fall on it’s ass completely.
If you bought within the 10km radius of Brisbane CBD 20 years ago, I dare say you’ve seen growth. If you bought well and held onto that investment, you’ve likely more than doubled your money... and the rest.
Buy well, and HOLD - that is the key.
So let’s take a closer look at what might influence the Brisbane property market this year.
Firstly, there’s evidence of a growing population. Yep, more and more people are becoming Brisbanites.
Interest rates are still at a low and from what I’m seeing, investor confidence is up when we’re talking Brisbane. I know this because I’m getting calls and emails every other day from buyers looking to invest in our fair city. More enquiry than I've had in the past 3 years.
Investors are seeing the upgrades to our infrastructure and with developments like the Queens Wharf precinct beginning to take shape, our city will escalate it’s game when it comes to dining, shopping and entertainment - all those things that attract us human beings.
Brisbane is also seen as a lot more affordable compared to Sydney and Melbourne with buyers telling me those markets are “tapped out” for now.
Professionals are bedding down their careers in Brisbane and it’s often I’ll chat to business men and women looking to make the migration North to a warmer climate and affordable housing market.
So in saying all of this, I’m going to argue that yes, the Brisbane property market will push onwards and upwards this year and if you’re thinking about taking a punt, my focus would be on houses and townhouses within 13km of the CBD, near a train line or express bus route.