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Overseas buyers, bargain hunters driving surge in demand for Brisbane property

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Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Former expatriate Diana Edwards moved back to Brisbane with her husband and three sons. Photographer: Liam Kidston.Source:News Limited

BRISBANE has emerged from the shadows of its southern counterparts, with new figures revealing the tough times are over for the city’s property market as expats and bargain hunters drive a surge in demand.

The Queensland capital recorded the biggest increase in offshore property buyers over the past year — far higher than any other capital city — and many local agents say expats are behind the turnaround.

Realestate.com.au’s Property Outlook report, released today, shows demand for houses in Brisbane rose 6.7 per cent in the past 12 months, while unit demand increased 4.5 per cent as buyers hunted for bargains despite oversupply concerns.

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Anglican Church Grammar School in East Brisbane. Photographer: Liam Kidston.Source:News Corp Australia

The blue chip suburbs of East Brisbane, Indooroopilly and Paddington were most popular when it came to houses, while the Gold Coast was the most in demand among apartment buyers, with Tugun and Currumbin the highest demand suburbs in the state.

RESIDENTIAL TOWER FIRST IN 30 YEARS

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Demand for houses in Paddington has increased. Photographer: Liam Kidston.Source:News Corp Australia

“It looks like Brisbane’s really turning around,” REA Group chief economist Nerida Conisbee said.

“If you have a look at the inner city and the east where demand is up more than 10 per cent, it shows there’s lots of people having a look, and when we see that, we generally start to see a pick-up in pricing.

“All the talk has been about the housing boom being over, but if you look at Brisbane, it’s just warming up again.”

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

REA Group chief economist Nerida Conisbee.Source:Supplied

Overall, home prices in Brisbane are up 1 per cent on year, with houses seeing a slight increase and apartments seeing a decline, according to the report.

The city’s median house price increased 2.7 per cent to $525,000 in the past 12 months, while the median apartment price fell 4.1 per cent to $382,500.

HOME FIT FOR HARRY AND MEGHAN

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Aerial images of suburban houses in Brisbane, where the median house price rose 2.7% in the past year.Source:News Corp Australia

The report noted that Brisbane home prices never increased to the same levels as Sydney and Melbourne and it remained far more affordable.

“With so much spending on infrastructure, the city is now well prepared for population growth which appears to be occurring as jobs growth continues to recover,” the report said.

Offshore interest in Brisbane property has increased dramatically, according to the report.

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Demand from Chinese buyers for Brisbane property rose more than any other capital city in the year to May 2018. Source: realestate.com.au.Source:Supplied

Demand from property seekers from China for the Brisbane market jumped some 35 per cent in the 12 months to May 2018.

Adcock Prestige principal Jason Adcock recently sold a prestige home to a Brisbane expat living in Hong Kong sight unseen.

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

This home at 562 Fig Tree Pocket Rd, Fig Tree Pocket, recently sold to an expat for $1.928m sight unseen.Source:Supplied

Mr Adcock said the buyer wasn’t planning to come back to Brisbane for another 12 months, but did not want to miss out.

“We’re starting to see a lot of that at the moment,” he said.

Mr Adcock said high income earning expats from Hong Kong, the UK and the US were showing increasing interest in buying property in Brisbane and returning home.

“They’re coming back to Brisbane and want to reward themselves with a trophy property,” he said.

Property Pursuit director and buyer’s agent Meighan Hetherington said she had noticed a strong increase in inquiries from expats in the past 18 months.

Ms Hetherington said her expat clients were either looking to create their future home base in Brisbane, or ready to repatriate.

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Buyers agent Meighan Hetherington of Property Pursuit bids on a property at auction in Paddington. Image: AAP/John Gass.Source:News Corp Australia

She said changes in the lending landscape had put some pressure on expats to secure property in Brisbane in case standards tightened further.

“Anyone earning a foreign income is pulled into the same lending criteria that is used for foreign buyers, which has meant a lot of pressure on the ability (for expats) to borrow to purchase,” Ms Hetherington said.

“Some clients have taken six or seven months to get finance approval.”

Ms Hetherington said the price differential between Brisbane and southern states was so great that Brisbane had become much more attractive from a value proposition.

She said 80 per cent of her clients bought properties without seeing them in person, relying instead on research and detailed videos provided to them by buyers agents.

Diana Edwards lived as an expat in Hong Kong with her husband and three sons for 17 years before deciding to return home to Brisbane.

Ms Edwards said schooling and lifestyle lured her back to the Queensland capital.

Overseas buyers, bargain hunters driving surge in demand for Brisbane property

Former expatriate Diana Edwards moved back to Brisbane with her husband and three sons for the schools and lifestyle. Photographer: Liam Kidston.Source:News Limited

And she’s not alone. She now works with expats as a buyers agent and has a client who wants to move to Brisbane, even though he is originally from Sydney.

“Generally the expat families who request our help to find a home in Brisbane are originally from here or have some connection to Brisbane, but we do receive requests from other clients who are originally from Sydney and Melbourne but are choosing to move to Brisbane due to affordability of property and lifestyle factors,” Ms Edwards said.

“Once you compare property prices in these cities, Brisbane is absolutely the frontrunner in terms of the space it can afford for young families within proximity to the city.”

Universal Buyers Agents director Darren Piper said he too had noticed an increase in overseas expats wanting to move back to Brisbane.

“This is due to a number of reasons including schooling, interest rates and most importantly the Brisbane property market as they don’t want to “miss out”,” Mr Piper said.

“Brisbane is set to soar in the coming years due to the large amount of infrastructure being built.

“Expat buyers are savvy and know that now is the time to buy.”

Mr Piper said expats in high income roles were earning an average annual wage of $175,000, which positioned them well to secure a “significant property” in Brisbane.

He said it was also a matter of timing.

“Certain expats have ‘done their time’ and are simply ready to have their feet back on home turf,” Mr Piper said.

“This on top of the current market conditions is certainly influencing the decision to move back.”

TOP SUBURBS FOR HOUSES IN BRISBANE

1 East Brisbane

2 Indooroopilly

3 Paddington

4 Holland Park

5 Wilston

6 Chandler

7 Windsor

8 Coorparoo

9 Newmarket

10 Toowong

TOP SUBURBS FOR APARTMENTS IN BRISBANE

1 Graceville

2 Mansfield

3 Tarragindi

4 Camp Hill

5 Red Hill

6 Ashgrove

7 Holland Park

8 Tingalpa

9 New Farm

10 Paddington

DEMAND FOR HOUSES AND UNITS NATIONALLY

Property views per listing (last 3 months) Year on year change

National 1165 5.2%

Canberra 766 16.2%

Sydney 1631 -22.5%

Darwin 491 4.7%

Brisbane 1121 5.9%

Adelaide 1723 2.7%

Hobart 4399 38.6%

Melbourne 2185 -6.1%

Perth 678 6.4%

DEMAND FOR HOUSES AND UNITS IN BRISBANE

Property views per listing (last 3 months) Year on year change

Brisbane – East 1127 16.7%

Brisbane – North 1579 6%

Brisbane – South 1637 -2.1%

Brisbane – West 1912 0.1%

Brisbane Inner City 1352 13.7%

(Source: realestate.com.au)

Source: www.news.com.au

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The most in-demand Brisbane suburbs for July 2018

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The most in-demand Brisbane suburbs for July 2018

Brisbane may not be the most popular Queensland location to invest into compared to other markets, but it is certainly seeing a rise in demand and in median price, according to new data.

Data from realestate.com.au’s Property Outlook – July 2018 report shows that demand in Brisbane is up 5.9 per cent year-on-year. Both houses and apartments are up, with rises of 6.7 per cent and 4.5 per cent respectively.

The report stated that offshore property searches are very active and is the most popular capital city for demand from this particular investor type.

The overall median price saw a rise of 1 per cent to $485,000, with the report noting that the timing in the cycle seems to be moving out of sync with Sydney and Melbourne, claiming “prices never increased to the same level and it remains far more affordable”.

Overall, metro Brisbane was fairly in demand and experienced positive price growth. The eastern region of Brisbane was the most in demand and saw the largest median price growth, with a rise in demand of 16.7 per cent and a median price rise of 5.7 per cent to $556,000. The next best region in demand was the inner city region, which saw demand rise to 13.7 per cent, but was the only region to experience a price growth decline by 3.1 per cent down to $628,000.

The most 10 popular suburbs in Brisbane, according to realestate.com.au, are:

Houses

  1. East Brisbane
  2. Indooroopilly
  3. Paddington
  4. Holland Park
  5. Wilston
  6. Chandler
  7. Windsor
  8. Coorparoo
  9. Newmarket
  10. Toowong

Apartments

  1. Graceville
  2. Mansfeld
  3. Tarragindi
  4. Camp Hill
  5. Red Hill
  6. Ashgrove
  7. Holland Park
  8. Tingalpa
  9. New Farm
  10. Paddington

Regional Queensland saw every single area rise in demand with the exception of the Gold Coast, which declined by 9.1 per cent. The strongest rise in demand was Gladstone, which was up 39.1 per cent and a median price of $230,000 and was followed by Fraser Coast, which was up 33.8 per cent and a median price of 33.8 per cent and Gympie, which was up 32.2 per cent and a median price of $295,000.

Despite the demand, price growth was fairly down, aside from four areas; the Sunshine Coast which rose 5.8 per cent to $545,000, the Gold Coast which rose 4.1 per cent, Mackay which rose 0.3 of a percentage point to $321,000 and Gympie, which held steady.

Gladstone saw the largest median price growth decline, falling 14.8 per cent, and was followed by Rockhampton, which declined 12.7 per cent to $240,000 and Bundaberg, which declined 7 per cent to a median price of $265,000.

Metro Brisbane median price and demand

RegionMedian priceMedian price year-on-year percentage changeDemand year-on-year percentage change
East$556,0005.7%16.7%
North$540,0001.9%6.0%
South$635,0001.6%-2.1%
West$633,5000.6%0.1%
Inner City$628,000-3.1%13.7%

Regional Queensland median price and demand

RegionMedian priceMedian price year-on-year percentage changeDemand year-on-year percentage change
Bundaberg$265,000-7.0%30.2%
Cairns$340,000-4.2%6.5%
Douglas$335,000-1.2%19.3%
Fraser Coast$305,000-1.6%33.8%
Gladstone$230,000-14.8%39.1%
Gold Coast$536,0004.1%-9.1%
Gympie$295,0000.0%32.2%
Mackay$321,0000.3%31.1%
Noosa$608,000-3.5%24.2%
Rockhampton$240,000-12.7%5.6%
Sunshine Coast$545,0005.8%6.5%
Toowoomba$355,000-1.0%4.8%
Townsville$310,000-1.6%10.9%

Source: www.smartpropertyinvestment.com.au

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Mega mansion sells for $11m plus

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Mega mansion sells for $11m plus

The riverfront property in Hawthorne sits on a 2137 sqm riverfront block.

ONE of Brisbane’s most enviable trophy homes has sold for more than $11 million in the city’s biggest sale of the year so far.

The mega mansion, on a sprawling 2137 sqm riverfront block in Hawthorne, has been home to energy executive Shaun Scott and his wife, Sarah, for the past eight years.

Mega mansion sells for $11m plus
The view from the property in Hawthorne.

The Scotts’ property has been snapped up by self-made millionaire Anthony Yap, who founded Good Price Pharmacy Warehouse.

Mega mansion sells for $11m plus
Good Price Pharmacy Warehouse managing director Anthony Yap. Picture: Richard Walker.

Mr Yap and his wife, Hahn Luu, happen to be selling their current, six-bedroom home in neighbouring Balmoral, which is scheduled to go to auction next month.

Ms Luu declined to comment when contacted by The Courier-Mail.

Mega mansion sells for $11m plus
This house in Balmoral is for sale.

Mr Yap also owns another ­mansion in Balmoral, but his new digs in Hawthorne really are something else.

The home has five bedrooms, six bathrooms, two swimming pools, a heated spa, a north-south facing championship-size tennis court, a boat house, putting green and private 12m jetty.

Mega mansion sells for $11m plus
Inside the Hawthorne home.

Wait, there’s more.

There’s also a wine cellar, music room, library, gym and games room with built-in bar.

Records show Mr Scott, who is the former chief executive of Arrow Energy, bought the original property for $6.85 million in 2010.

Mega mansion sells for $11m plus
Shaun Scott is a former chief executive of Arrow Energy.

They employed architect Donovan Hill to design a brand new house, which was completed in 2014.

Selling agent David Price of Ray White – East Brisbane said the property attracted interest from potential buyers in London, New York and Dubai, as well Sydney and Melbourne.

“It was a truly international campaign,” Mr Price said.

“It’s a spectacular home. The house really had the lot because of the views over New Farm Park and the city, as well as being a flat block with a tennis court.”

There’s been some big money changing hands between the movers and shakers of Brisbane’s property market in the past year, with prestige homes attracting strong demand and increasing interest from interstate buyers.

This latest sale is the biggest of 2018 in Brisbane so far, eclipsing the $11 million sale of a mansion at 27 Sutherland Ave, Ascot, in March, and the $10.138 million sale in February of the Hamilton Hill mansion built by Christopher Skase at 36 Dickson Terrace.

Mr Price also recently sold a riverfront home at 15 Laidlaw Parade, East Brisbane, for $3.45 million and has listed another executive address at 10 Aaron Ave, Hawthorne.

“The top end’s very strong,” he said.

Mega mansion sells for $11m plus
The view from the house in Balmoral.
Mega mansion sells for $11m plus
The Hawthorne home sold for the highest price in Brisbane so far this year.
Mega mansion sells for $11m plus
Inside the Hawthorne house, which has sold.

Source: www.sunshinecoastdaily.com.au

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Brisbane’s Top Performing Growth Suburbs

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Brisbane’s Top Performing Growth Suburbs

Canny property owners in Brisbane have made huge cash gains after investing in suburbs which have recorded high capital growth.

Despite reports of a stalling real estate market, Place Advisory research has identified high performing suburbs in Brisbane, Ipswich and Logan, in the six months to March 2018.

Brisbane recorded an average capital gain of 6.2 per cent, with the inner suburb of Milton landing the highest capital growth of 19.9 per cent with median house values of $892,500.

Place Advisory’s Lachlan Walker said the growth has resulted in significant yields for property owners who have sold in the current climate.

“These gains are however the result of long-term strategies, crystallising capital growth if their initial investment was made based on the underlying drivers of population growth and the delivery of planned strategic local infrastructure,” Walker said.

SuburbGrowth (%)
Milton19.9%
Ascot13.3%
Kenmore Hills11.9%
Bundamba9.7%
Jamboree Heights9.4%
Shorncliffe9.2%
Park Ridge6.9%

Ipswich has lead the market in terms of a general rise in demand and pricing.

“The Ipswich corridor has undergone significant change over the past few years,” Walker said.

“Low entry level prices have allowed for strong growth to be achieved and value to be recognised by purchasers as this area continues to develop.

“The suburb of Bundamba recorded the highest capital growth in the Ipswich area, a significant 9.7 per cent.”

The Ipswich property market has also benefited from the awarding of a $5 billion defence contract to the region, which is forecast to generate jobs and infrastructure for the next 40 years.

In Logan, the top performing suburb was Park Ridge, with 6.9 per cent capital growth.

“The wider Logan area is a long-term investment opportunity,” Walker said.

Source: theurbandeveloper.com

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