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Brisbane’s median house price tipped to hit $2.24m by 2043

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Brisbane’s median house price tipped to hit $2.24m by 2043

BRISBANE’S median house price is tipped to hit $2.24 million by 2043 after growing more than 300 per cent in the past 25 years.

Paul Leaver and his sister, Narelle Rodenbush, at their family home, which they are selling for the first time since 1948. Image: AAP/John Gass.Source:News Limited

BRISBANE’S median house price is tipped to hit $2.24 million by 2043, if property values continue to rise at the same rate as they have in the past 25 years.

New research by CoreLogic and Aussie Home Loans reveals the Queensland capital’s median house value has increased by $16,290 per annum or more than 300 per cent overall in the past quarter of a century to sit at $535,292.

It’s hard to believe, but in 1993, the average price of a house in Brisbane was just $128,000.

Brisbane’s median house price tipped to hit $2.24m by 2043

A new report reveals Brisbane’s median house value has risen more than 300 per cent in 25 years.Source:istock

The report also reveals the best performing suburbs for price growth over the past

25 years, based on the change in median prices between 1993 and 2018.

The Brisbane riverside suburb of Bulimba has experienced the greatest capital gains growth in the past 25 years, with house values rising a whopping 876 per cent between 1993 and 2018.

A quarter of a century ago, you could buy a house in the now exclusive, riverside suburb for an average price of just $133,000, but now it has a median house price of $1.3 million.

New Farm has seen the next biggest gains, recording an 852 per cent jump in house values in 25 years followed by Hawthorne, which experienced an increase in its median house price of 672 per cent to $1.15 million during that period.

Brisbane’s median house price tipped to hit $2.24m by 2043

This house at 38 Mark St, New Farm, is for sale for the first time since 1981.Source:Supplied

On the Sunshine Coast, Mudjimba’s median house value has increased the most in 25 years, rising 656 per cent to $724,500.

Dicky Beach and Sunshine Beach have experienced similar gains in house prices.

On the Gold Coast, Mermaid Beach topped the list, with a 700 per cent rise in house values in the past quarter of a century.

The median house value in the suburb has risen from $195,000 in 1993 to $1.56 million today.

Paradise Point, Coolangatta and Burleigh Heads have also experienced strong capital gains in that period.

Brisbane’s median house price tipped to hit $2.24m by 2043

House values in Mermaid Beach have risen 700 per cent in the past 25 years.Source:Supplied

CoreLogic pointed out the extrapolations did not take into account how economic and demographic conditions might play out over the next 25 years or how housing demand and supply may evolve.

Aussie Home Loans chief executive James Symond said he expected Brisbane to perform well over the long term, given house values grew more than 10 per cent per annum between 2001 and 2004.

“Perhaps the greatest change we are seeing is Brisbane’s growth in higher density housing, with the share of apartment sales to all residential property sales growing from 19.4 per cent to 30.2 per cent over the past 25 years,” Mr Symond said.

“I expect this trend to continue as apartment living grows in popularity across Brisbane, where a larger proportion of the population will choose to live closer to the CBD and transport corridors.”

Brisbane’s median house price tipped to hit $2.24m by 2043

Paul Leaver and his sister, Narelle Rodenbush, at their family home, which they are selling for the first time since 1948. Image: AAP/John Gass.Source:News Limited

But affordability remains a problem, with buyers in Brisbane now needing to dedicate 119.5 per cent of their annual gross income to raise a 20 per cent deposit.

Brisbane’s Paul Leaver is selling his family home in Paddington for the first time in 70 years.

The four-bedroom house at 96 Beck Street was bought by his grandparents in 1948 for just 575 pounds, which is equivalent in value to $34,750 today, and paid it off in just three years.

“How good would it be to pay off a house in three years now?!” Mr Leaver said.

The house next door at 94 Beck Street recently sold for 15 times what it was bought for 30 years ago.

He remembers growing up in the home with his three brothers and sisters and wishing he lived further out of town because it wasn’t regarded as a desirable area more than 25 years ago.

“We always wished we had a bigger yard,” he said.

Brisbane’s median house price tipped to hit $2.24m by 2043

This house at 96 Beck St, Paddington, is for sale for the first time since the 1930s.Source:Supplied

Selling agent Daniel Argent of Urban Property Agents said he was not surprised the median house value in Paddington had jumped more than 500 per cent in the past quarter of a century.

“It’s a big number but I’m not surprised given the shift in people’s behaviour,” Mr Argent said.

“Twenty-five years ago, the inner city wasn’t a sought-after place to live — it was a real working class area and the richer people lived further out.

“There’s definitely been a major shift towards people living closer to the city.”

Mr Argent said he expected the suburb to continue to experience house price growth due to strong interstate demand.

BRISBANE SUBURBS WITH THE STRONGEST CAPITAL GAINS IN 25 YEARS

Suburb Median price 1993 Median price 2018 Change in median price in 25 years

Bulimba $133,000 $1.2975m 876%

New Farm $181,125 $1.725m 852%

Hawthorne $149,000 $1.15m 672%

Seven Hills $130,000 $920,000 608%

Grange $135,000 $942,500 598%

Camp Hill $130,000 $899,000 592%

Paddington $160,000 $1.1055m 591%

Hamilton $189,000 $1.3m 588%

West End $153,025 $1.048m 585%

Norman Park $135,000 $915,000 578%

(Source: CoreLogic, Aussie Home Loans)

Source: www.news.com.au

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Slowing Housing Market Sees Capital City Values Fall Below Their Peak

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Slowing Housing Market Sees Capital City Values Fall Below Their Peak

With dwelling values now falling across most capital cities, the topic at weekend BBQs across the country might very well be, what’s next for Australia’s property market?

Corelogic’s latest models show, at least for the short-term, that values are likely to continue trending lower, with the rate of decline easing later this year and into 2020.

National housing market downturns have generally been short-lived. Although, the current downturn of 16 months is now the second longest, with the 2010-12 decline running two months longer than the current downturn.

By next month, assuming the falls continue, Corelogic says this will be the largest downturn in the combined capital city index since 1980.

There is an expectation that interest rates may move lower. This week a report from the Reserve Bank cited shifting interest rates as responsible “more than any other factor”, for weakening house prices and construction rates.

“We probably won’t see the entire rates cuts passed through to mortgage rates and the much tighter credit conditions are likely to limit any rebound in the housing market,” Corelogic said.

“Particularly given borrowers are being assessed on their ability to repay a mortgage at a much higher rate, above 7 per cent.”

SYDNEY

Slowing Housing Market Sees Capital City Values Fall Below Their Peak1

Since peaking in July 2017, Sydney’s dwelling values have fallen by 13.2 per cent to February 2019.

Corelogic says this is one of the longest periods of decline.

“With little sign that the falls will abate over the coming months, this current downturn may end up being the deepest and longest in modern times.

“This downturn is also very different to other downturns which have generally been driven by an economic contraction or higher interest rates.

“This downturn is more closely linked to a significant tightening of credit conditions at a time in which the economy continues to grow and interest rates are unchanged – despite some moderate increases for owner occupiers and larger rises for investors.”

Slowing Housing Market Sees Capital City Values Fall Below Their Peak2

MELBOURNE

Slowing Housing Market Sees Capital City Values Fall Below Their Peak3

From Melbourne’s housing market peak in November 2017 through to the end of last month, dwelling values across the city have dropped by 9.6 per cent.

“Interestingly, comparing the downturn in Melbourne to Sydney, 15 months into Melbourne’s downturn values have fallen 9.6 per cent compared to a decline of 8.2 per cent 15 months into Sydney’s downturn.

“The downturn in Melbourne’s housing market is closing in on its largest downturn of 10 per cent between 1989 and 1992 while the downturn (so far) has been much shorter than the 36 month period in 1989-92.”

Slowing Housing Market Sees Capital City Values Fall Below Their Peak4

BRISBANE

Slowing Housing Market Sees Capital City Values Fall Below Their Peak5

Brisbane didn’t experience the great upswing in property prices recorded in Sydney and Melbourne in recent years. And as such, after experiencing moderate growth the data shows Brisbane is recording a moderate decline.

Brisbane’s property values peaked in April 2018, dropping 1 per cent to February 2019.

“To date the fall is moderate however, with housing market weakness entrenched values are expected to move slightly lower or, at best hold firm, over the coming months.”

Slowing Housing Market Sees Capital City Values Fall Below Their Peak5

PERTH

Slowing Housing Market Sees Capital City Values Fall Below Their Peak5

Following the slowdown in the mining sector, Perth’s housing market has experienced an extended downturn since June 2014 when the market last peaked. Perth’s property values have fallen by 17.8 per cent since then.

“The current downturn has run substantially longer than previous downturns and it is also a much deeper value fall than recorded across previous downturns,” CoreLogic said.

“In late 2017/early 2018 it was looking as if the falls were coming to an end, however, the market has weakened further in line with weaker labour market and economic conditions as well as tighter credit conditions.”

Slowing Housing Market Sees Capital City Values Fall Below Their Peak8

ADELAIDE

Slowing Housing Market Sees Capital City Values Fall Below Their Peak8

Much like Brisbane, Corelogic says Adelaide’s growth has been moderate over recent years however, with values starting to decline over recent months.

Adelaide’s values peaked in December 2018, recording a fall over the past two months of 0.3 per cent at the end of February 2019.

“While there have been previous periods of value falls in Adelaide, they have tended to be more moderate than those recorded across the other capital cities.

“To-date the decline has been short and moderate and it will be interesting to see over the coming months whether values continue to fall.”

Slowing Housing Market Sees Capital City Values Fall Below Their Peak10

 

 

Source: theurbandeveloper.com

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SHAFSTON ESTATE, WHICH INCLUDES ONE OF BRISBANE’S OLDEST HOUSES, IS ON THE MARKET

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SHAFSTON ESTATE, WHICH INCLUDES ONE OF BRISBANE’S OLDEST HOUSES, IS ON THE MARKET

A large parcel of prestige riverfront land, which includes with one of Brisbane city’s oldest houses, is on the market.

Known as The Shafston Estate, the 1-hectare block at 23 Castlebar Street in Kangaroo Point has been the home of the Shafston College educational facility for more than 20 years.

The site features six freestanding campus buildings totalling about 2675 square metres, one of which is the heritage-listed Shafston House that was entered on the Queensland heritage register in 2005 for its historical, cultural, and aesthetic significance.

The estate was previously on the market in 2013, and property records show that the estate was last sold in 1993 for $1.8 million.

Kangaroo Point is one of Brisbane’s most prestigious suburbs. An $18.48 million sale recorded there in early 2017, for a riverfront home on almost 1200 square metres, made it Brisbane’s most expensive house at the time.

SHAFSTON ESTATE, WHICH INCLUDES ONE OF BRISBANE’S OLDEST HOUSES, IS IN THE MARKET

The property is in one of the most prestigious suburbs of Brisbane.

Herron Todd White Brisbane director Gavin Hulcombe said prestige inner-city riverfront property had been in strong demand lately due to its scarcity.

“It is unusual to have a parcel of this size, in this proximity to the city, with river frontage. Riverfront sites have been quite constrained throughout Brisbane,” Mr Hulcombe said.

“There has been a lot of interest generated in riverfront property as evidenced by a couple of recent home-site purchases.

“It is a very popular location. It is unusual to have this size block of land through this pocket, irrespective of being on the river.”

A riverfront property in New Farm, directly opposite Shafston Estate, sold in March for $7.75 million, equalling the Brisbane auction price record.

SHAFSTON ESTATE, WHICH INCLUDES ONE OF BRISBANE’S OLDEST HOUSES, ON THE MARKET

Shafston College has operated from the site for 20 years.

State government records show that Shafston House, designed by well known 19th century architect Robin Dods, was constructed in several stages between 1851 and 1904 and is an example of the Victorian gothic architecture style that was popular at the time.

According to the heritage register, it is likely the third oldest house in the Brisbane metropolitan area, after Newstead House (1846) and Bulimba House (1849-50) and a rare surviving remnant of a riverine estate of a type typical in the early development of Brisbane.

Marketed by Cushman & Wakefield, expressions of interest close at 4pm on Wednesday 10 April.

 

 

Source: www.commercialrealestate.com.au

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Council says ‘imposing’ Nudgee property needs heritage protection

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Council says imposing Nudgee property needs heritage protection

A large bungalow home in Nudgee that Brisbane City Council says it at risk of demolition or removal could be placed under a two-year protective order while its history is investigated.

The property on St Vincents Road has a large 3000-square-metre block of land and a building the council believes could be constructed in 1900.

At Tuesday’s council meeting a request for a temporary local planning instrument that would last for two years was put forward for debate.

The council agreed to write to State Development Minister Cameron Dick requesting the TLPI so they could have more time to investigate the heritage of the property.

A report made to council’s establishment and coordination committee noted the property was “currently at risk of either demolition or removal” and any subdivision of the garden “would have a detrimental impact on the cultural significance of the house” and the gardens.

The building had already seen some upgrades made to it, including a part of the building constructed after 1946, but it was believed the original building could have been constructed in 1900.

City planning committee chair Matthew Bourke said the council did not want to see the house disappear.

“Council needs more time to properly research the history of this site and determine its historical significant, as well as heritage value so it can then be put onto our heritage register,” Cr Bourke said.

“Due to the current zoning and size of the lot, there is the possibility this site may become subject to a multiple dwelling development application.”

Cr Bourke said on face value the building didn’t look like a pre-1940s house, but local councillor Adam Allan (Northgate) had raised the potential for it to be of heritage interest after conversations he had had.

“That’s why we’ve taken this opportunity to protect it, to be able to do the detailed investigation, and then assess on that information,” Cr Bourke said.

Cr Allan said the property was well-known to residents as an “imposing old home” and was originally on farmland.

“This property has remained as a beacon of a bygone era,” he said.

“Any moves to move or demolish the property would not be well-received by the growing local community and would result in the loss of an element of the heritage and history of the area.”

Independent councillor Nicole Johnston (Tennyson) questioned why the council was seeking a TLPI on the Nudgee property when many other requests she had made to protect houses in her ward were rejected.

The move from council to protect the building follows several weeks of discussion about the council’s attempt to ban townhouse and apartment developments on blocks larger than 3000 square metres in low density residential zoned suburbs.

The council is waiting for a final response from the state government on both their request for a permanent ban to be written into its planning legislation, and a temporary ban while the permanent ban is considered.

 

Source: www.brisbanetimes.com.au

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