Brisbane whats deal?

[DanielN]

Gday all, ive been reading on this forum the past few months just havnt involved myeslf in posting just yet. A quik overview of myself is im 20 years old and no IP's but i had a small amount in the stockmarket .but Im looking to secure a IP by early Janurary in brisbane. I'm looking to buy in brisbane whats the potential in Brisbane? I heard that Brisbane has alot of migration, i dont claim myself to be very compedent on the whole issue but i am going through some family friends who are property developers, but id just like to know a bit more about the brisbane area before i commit to it. I study business so i have an understand of the global ecnomy, the global credit crunch and a possible recession, just wondering how that will all effect the property market if at all - and if it does do we investors HOLD through the correction. I do believe that Australia has a number of years left in the australian boom before there is a correction, that being because of the resource demand here in australia, i guess it also depends how much other countries keep backing the resource boom. Another interesting bit of advise i was given from a family friend who has no expertese in the field but i would consider quite suceessful believes that Australia is one of the most liveable countries in the world which appeals to many people around the world..

Anyway apologies for my spelling or grammer mistakes in advance im on the run..!

Cheers guys thanks in advance for any responses =)

 

[Jontxu]

Hi Daniel,

I would not worry too much about ALL the stuff. Buy well (price/terms), and if the investment makes sense today, it will still make sense tomorrow, next week, next month, year…

No matter what happens to the economy, the boom, mining, the sun, the sunshine, the waves, the stock market, people will always need a roof over their heads, just a thought.

Do your due diligence and do not let the “analysis paralysis” take over. Buy well and enjoy your first step.

Happy Investing
Jon Salvador
www.headinghome.com.au
For investors … from investors

 

[yo yo ma]

Welcome to the forum mate
Brisbane is going really well ATM... There is an article in todays Courier Mail about it. This is having a flow on effect to areas like the Sunshine Coast, Gold Coast & Ipswich.

The figures coincide with those from the Real Estate Institute of Queensland which reveal statewide property prices continue to soar on the back of a flood of interstate migrants.

And there is no slowdown in sight, REIQ chairman Peter McGrath says. Values in regional areas also have continued to leap as the mining boom drives demand for housing.

The Queensland residential market has now recorded its fourth consecutive quarter of healthy price growth.

Brisbane led the way with sales volumes up and consistent price growth. Suburbs within 10km of the city performed especially well.

You are right when you say Brisbane has a lot of migration. You can look at Migration figures on the ABS website. Currently, WA has the highest growth followed closely by Queensland. Generally South-East Queensland (SEQ) is in the top 3 for regions with the highest population growth. You can read about population growth in the SEQ Regional Plan.
Steve

 

[DanielN]

thanks for the welcoming boys..
Points that you guys make regarding statistics are great..

And in regards to people always need a roof over their head to live this is true as well..

Being a 20 year old and on a trainee wage i wont be taking on a great amount of debt hopefully will go into a partnership ...I think in regards to a loan i can secure 150K, would somebody help me estimate what the repayments would be? I must also point out that it will be being built, so no rent for at least 6-months - 12 months

Cheers again boys and thanks for da heads up

 

[MissMuffitt]

Can I ask why you want to build?
If you bought an established unit/house you get some return straight away.

 

[DanielN]

Going to build a duplex ..

 

[stumunro]

do you want to be a property investor or do you want to invest in property developing...

There is no way you are going to be able to purchase land and build for 150k.

Do you have any savings? Are you expecting to borrow the building costs? If so you will be looking at costs along the very general lines of say

300k for land
200k to build
30k purchasing costs
15k D.A costs, even more if you need to change easements etc.
50k holding costs (annum)

Why not, as someone has already mentioned, start with something more basic and buy something with a buy and hold strategy ?

 

[yo yo ma]

I think in regards to a loan i can secure 150K, would somebody help me estimate what the repayments would be?

Have a play around with a home loan calculator. I have used a few but find St George to be the most user friendly. You can use the loan repayment calculator, borrowing capacity calculator & stamp duty calculator. Sometimes you get a variance in the figures between different banks... The calculators will give estimations but you need to speak to someone to get accurate figures.

When working out your loan repayments, you can change figures around to alter the repayments. For example you can:

• make monthly or fortnightly repayments
• alter length of the loan (eg 25 or 30 years)
• pay interest only or principal & interest

Have a play around with it & see what you come up with
Steve

 

[Nth Brisbanite]

I'm looking to buy in brisbane whats the potential in Brisbane? I heard that Brisbane has alot of migration, i dont claim myself to be very compedent on the whole issue but i am going through some family friends who are property developers, but id just like to know a bit more about the brisbane area before i commit to it. /QUOTE]

Brisbane is going through a boom at the moment. According to some analysts it still has not yet peaked so if you want to get into the market here, you'd better move quickly.

 

[alexlee]

Being a 20 year old and on a trainee wage i wont be taking on a great amount of debt hopefully will go into a partnership ...I think in regards to a loan i can secure 150K, would somebody help me estimate what the repayments would be? I must also point out that it will be being built, so no rent for at least 6-months - 12 months

Are you saying you're actually building it yourself, or you're buying off the plan?

I'd stay away from partnerships for the time being.
Alex

 

[HandyAndy888]

Oh the youth....I think with a 150K, a unit trust will allow you to go in partnership with a few people and then you can be on your way...