PHOTO: Brisbane City Council wants to stop townhouses and apartments being built in areas for single homes.(ABC RN: David Lewis)
A Brisbane City Council plan to stop townhouses and apartments being built in areas for single homes is “going backwards” in terms of urban planning, experts say.
University of Queensland Urban Planning expert Dr Dorina Pojani said the Lord Mayor’s attempt to “save the Brisbane backyard” could drive up property prices.
“If you have more apartment buildings in neighbourhoods it means that you have higher densities in those neighbourhoods,” Dr Pojani said.
“With higher densities you can support much better public transport, if you have very low densities … then public transport will never become viable.
Council’s opposition planning spokesman, Jared Cassidy, described it as “a multi-million-dollar mea culpa”.
“The same Lord Mayor who has waved through the worst developments in Brisbane’s history is now claiming he’s saving the backyard,” he said.
Dr Pojani said restricting the type of housing in certain neighbourhoods would just drive prices “through the roof”, and it had already produced “disastrous results” in the United States.
“We’re already in the middle of a housing crisis in Australia so it’s the opposite of what we need at the moment.”
“It’s caused urban sprawl, it’s caused problems with access to housing because housing prices end up being very expensive if you can’t have the higher densities that apartments provide,” Dr Pojani said.
“It makes neighbourhoods more homogeneous because there’s only certain people that can afford family homes.
“Now that we’ve seen all that of that experience from overseas we go and do the same thing in Australia, that’s very disappointing. It’s almost like going backwards.”
Lord Mayor Graham Quirk said the plan was about creating a city of neighbourhoods “to protect the Brisbane backyard”, with more than 100,000 people responding to the Plan Your Brisbane campaign.
“It’s about stopping the cookie-cutter style of townhouses in some cases that we have seen in our city,” Cr Quirk said.
PHOTO: Experts say the plan will drive up property prices. (Giulio Saggin: ABC News)
He said 40 action plans had been developed, which would not contribute further to urban sprawl.
“People said they wanted the growth to occur around the inner-city areas, along transport corridors, and around the regional business centres and nothing has changed in that regard,” Cr Quirk said.
“What they do want though is greater protections in those single-dwelling areas of the city, that’s come through loud and clear and that will be provided.”
He said the council would also develop a new forum for residents to help guide the preservation of tradition designs, like the Queenslander.
Mr Cassidy hit out at the Lord Mayor’s close relationship with developers at the expense of residents.
“Brisbane’s had a gutful of the orgy of over-development,” he said.
“The same Lord Mayor who cut the number of car parks that unit developers have to provide is now trying to pretend someone else did it.
“The same Lord Mayor who has waved through the worst developments in Brisbane’s history is now claiming he’s saving the backyard.”
This project will change Brisbane from a stop over to a destination and will lead to property price growth
I WAS in Sydney this week meeting with a series of buyer’s agents, financial planners and accountants.
With so much chatter about a slow down in the Sydney and Melbourne markets, there is renewed interest in Brisbane and what upside still exists in that property market.
I met with these professionals to get a better understanding of their clients needs and give them some information about what is happening on the ground in Brisbane.
What I shared with them was a quick history lesson.
To understand the difference between Brisbane and the other eastern seaboard capital cities you need to look at the market movements before the Global Financial Crisis (GFC).
In 2007 Brisbane experienced a fabulous property boom.
INTEREST IN THE UNIT MARKET STARTING TO LIFT AGAIN
It was unexpected, it drove prices across the city and it was not experienced in those capital cities south of the Queensland border.
However a year later, when the GFC hit, the market suffered a significant decline, while Sydney and Melbourne were not affected to the same extent.
Over the past six years, however there has been worldwide focus on the thriving Sydney and Melbourne markets.
Fuelled by low interest rates, international buyer interest and bullish confidence those regions have roared to unexpected heights, while Brisbane has remained relatively dormant.
But like in every market, they are cyclical and it’s time for those markets to simmer.
Which is why the attention is now on Brisbane. Brisbane house prices did see a correction, our properties are considerably cheaper than our southern neighbours. Our apartment prices have taken a battering over the past four years and they are now at all time lows.
But value alone will not drive a market, there needs to be a spark of confidence to light the fuse first and I believe that comes in the form of the Queen’s Wharf Development.
This casino will change Brisbane from a stop over to a destination. It will create jobs. This means that those inner city units that have seen a drop in rental prices will now be filled with tenants seeking accommodation close to work. Those yields will entice investors to buy and that competition will see rents and sale prices rise.
Andrew Winter: How to buy the right apartment
Those tourism dollars will flow into the housing market, which will see locals and businesses benefit. This confidence will underpin interstate buyers looking for a capital return to back the Brisbane market, it will give locals confidence to continue to compete for their desired property and that should light the fuse on the local Brisbane market.
With Brisbane’s fabulous weather, its location close to sandy beaches and theme parks, and its easy access from Asia it has all the hallmarks of one stop family holiday spot. With infrastructure comes opportunity and I believe the next 12 months will see a lot of interest from interstate and international buyers competing for their own little slice of the Sunshine State.
Originally published as Project that could be the making of Brisbane.
Brisbane House Price hits all-time high
Brisbane house price has hit an all-time high.
The median brisbane house price is peaking at $673 000, which Real Estate Institute of Queensland (REIQ) says is a very good sign.
“It tells us that this market has well and truly recovered from the post GFC slump” CEO, Antonia Mercorella, said.
The latest Market Monitor report by REIQ revealed Brisbane’s median house price has increased 2.5% in the past year and 30% over five years.
The top growth suburbs across the city’s south include Holland Park West, Manly West and Carindale.
Brisbane’s median house price has hit an all-time high. The median house price is peaking at $673 000, which Real Estate Institute of Queensland (REIQ) says is a very good sign. (9News)
In the city’s North, it’s Mitchelton, Stafford Heights and McDowall.
“Those suburbs are really popular with families in particular. And what they demonstrate is that there is good affordability.” Ms Mercorella said.
David Conboy is currently selling a five-bedroom, two-bathroom home at Mitchellton, asking $675,000.
He is not surprised the suburb is booming.
Antonia Mercorella, said the post-GFC slump is over in the Brisbane property market. (9News)
“In this area we have a fantastic access to infrastructure to local schools, shops and public transport as well,” the Harcourts Property Sales and Marketing Consultant said.
A bit further out, the best performer in Greater Brisbane has been Caboolture South.
It has seen an increase of 30.4% to a median house price of $327 000.
Brisbane’s median house price has hit an all-time high. (9News)
“With the Bruce Highway improvements, we should continue to see those suburbs performing strongly, into the future” Ms Mercorella said.
Across Queensland, the coastal markets have seen the most growth.
Noosa on the Sunshine Coast taking out the top spot, up 6.9% to a median house price of $695,000.
It takes the title from the Gold Coast, where the median house price sits at $622,000.
“They offer just such a good lifestyle. You’re close to the water, close to nature” Ms Mercorella said.
New postcode restrictions for home loans
In a notice issued to mortgage brokers today the CBA announced it will roll out a range of changes including restrictions on lending in some postcodes.
This includes forcing customers to stump up fatter deposits in order to get a home loan.
It will impact all types of properties including homes and apartments and also borrowers regardless of whether they are owner occupiers or investors.
In the notice it said from Monday, December 4 the key changes will include:
– Reducing the maximum loan-to-value ratio from 80 to 70 per cent for customers without Lenders Mortgage Insurance (an insurance the customer pays and protects the lender not the borrower.) This means borrowers with a deposit less than 30 per cent must pay expensive LMI costs.
– Reducing the amount of rental income and negative gearing eligible for servicing which will impact investors.
– Change eligibility for Lenders Mortgage Insurance waivers and LMI offers for customers in some postcodes.
CBA said the new Postcode Lookup tool which will start from Monday will allow the bank and brokers to determine whether a borrower can successfully borrow in a particularly region or postcode and it will reduce customers wasting time applying where they are likely to get knocked back on a loan.
CBA has not released the postcodes and regions these changes will impact.
The move is a result of the responsible lending restrictions put on lenders by regulators to cool the red-hot lending market.
Home Loan Experts’ managing director Otto Dargan said these changes are significant and will impact many borrowers.
“Lenders keep an eye on the economy and their exposure to different property markets and adjust their lending policies to manage their risks,” he said.
“We strongly recommend that home buyers don’t commit to buy a property until they have an unconditional approval from a bank.
“You could win an auction and then find out that your pre-approval is worthless, and then what are you going to do?”
Unconditional approval is when your loan application has been fully approved and is not subject to any terms or conditions.
Originally Published: www.ipswichadvertiser.com.au
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