Where to buy in Brisbane

K

kurnster

Hi All,


Looking at buying an investment property in Brisbane criteria is as follows:


Buy and hold
Budget 400k
High Growth preferred over cahs flow
Within 8-10kms from City centre
Good land content
Poss nearly new pref townhouse/hse or boutique apartment
high owner occupier area and strong rental demand


Would welcome any suggestions for good area, agents or buyers agents as interstate.


Thanks



Kurn
 
Would suggest you buy where professionals prefer to live- reasonably close to cbd, arts, lifestyle facilities, and train, whilst maintaining residential retreat ambience. And without significant capacity for new product.

Established areas are

Inner East: New Farm, Teneriffe.

Inner West: Auchenflower, Milton, Toowong, St Lucia, Paddington, Taringa, Indooroopilly.

Southside: West End (slow gentrification process going on now and highly strategic area)
Balmoral (getting a bit far from town to walk and has no train, but has citycat. Prices haven't been as strong there in the last 2 years as inner west.


If I was looking for a townhouse now, I'd favour a complex with less than 12 dwellings, good landscaping, off street parking, bordering a park, probably in Indooroopilly, Taringa, Toowong....purely because of the volume of people wanting to live in the region. June July is traditionally slower and with interest rate threats still around, buying now might have a small advantage. Though I don't see more than 5-7% growth pa in these burbs over the next 5years.
 
kurnster said:
Hi All,


Looking at buying an investment property in Brisbane criteria is as follows:


Buy and hold
Budget 400k
High Growth preferred over cahs flow
Within 8-10kms from City centre
Good land content
Poss nearly new pref townhouse/hse or boutique apartment
high owner occupier area and strong rental demand


Would welcome any suggestions for good area, agents or buyers agents as interstate.


Thanks



Kurn
Click to expand...

Kurn,

What are you looking for the property to do and where does it fit into your investment strategy/big plan?
 
Look at Chermside at Inner North Brisbane. Roughly 9 kms from CBD. They have huge parks, good schools, child care centres and also the largest shopping complex in Queensland. Local government currently has a lot going to gentrify the area.

Also, look at its surrounding suburbs like Chermside West and Stafford Heights. Right now, there are lots of bargains available! Decent condition houses are selling way below the suburbs' median!
 
Was chatting with a developer friend during the week. He said, over the last 6 weeks :

- there's more property valuers looking for work because they've been let go by developers.
- Stocklands have laid off most of their sales staff in premium projects around Brisbane.
- Devine sacked the bulk of their acquisitions staff in SE Qld
- Some small lots at North Lakes have been reduced ~30%.
- lenders have severely reined in their lending criteria for fringe areas like Caboolture and Morayfield.
- for sale ads of established houses are up 50% in some northern fringe suburbs.

- inflation continues to drive construction costs. not so much labor, but materials.
- rents are still edging up.
 
WW, could you further elaborate on your developer friends view of the impact that these events will have on the market. ie: does he see it as a slowing down due to demand or premiums being squeezed out due to construction material costs, what is the impact of this on the market, where is the market heading, etc. Would be good to get a different point of view from a higher market supplier side rather than the more prominent views of FHB and small fish investors
 
CashflowPlus said:
WW, could you further elaborate on your developer friends view of the impact that these events will have on the market. ie: does he see it as a slowing down due to demand or premiums being squeezed out due to construction material costs, what is the impact of this on the market, where is the market heading, etc. Would be good to get a different point of view from a higher market supplier side rather than the more prominent views of FHB and small fish investors
Click to expand...

CF+, he sees it pretty simply. FHBs and low income households are being squeezed on rate rises and petrol. Many didn't leave much of a margin beyond their original interest rate. Further, many youngies need two incomes to meet the mortgage, and service sector employment is beginning to soften.

This tightening started hitting the Brissie fringe metro areas late last year, and is continuing.

There's been a slight pull back in labor costs, but there's still enough work around for most. I haven't priced a project builder recently personally. But would imagine materials cost increases are outweighing minor decreases in labor costs.

Further, lenders in addition to lifting rates, have decreased LVRs for outlying postcodes. That means FHBs have to save a bigger deposit, while rents are going up.

Developers are downstream from lenders, in controlling property prices, so if you can get a few mortgage brokers to comment, you might be better informed. Though I suppose it'd be against their self interest to talk negatively about the market. ;)
 
Last edited:
Kurnster - I beleive you buy when you can afford too. That means taking into account your cash flow & capital.

As for position in Brisy - if not CBD then it must have a train station. MUST MUST MUST. Traffic is ugly in Brisy & going to get worse with the new road projects & then in 4 yrs, hopefully better.
I do like Bayside suburbs with train stations. Why move to SE Qld if you are not near the water?
Townhouses are fine but the less per block the better ie increased land contact
 
For 400k I think you might like Mitchelton. Its about 8km from the CBD.

- Express trains to the city
- Brookeside shopping centre
- schools
- Blackwood road has cafes, restaurants and a Sunday market.

Keperra is even cheaper.. Its possible to get a renovator for 350k. I wish i could buy now :(
 
Actually they have dropped the price now to $350,000 seems like a good deal as it is bigger than a unit (319m2 total land) and no body corp.
 
Yes I had actually seen a couple of places in Virginia/Banyo on 800m2, old houses, now that you remind me.
Already on seperate titles is pretty good. I guess that means you could sell one off straight away? There must be still some DA stuff to do otherwise why wouldnt the seller sell them seperately?
 
You must log in or register to reply here.

Similar threads

R
2nd investment property purchase
Replies
8
Views
2K
Jacque
Jacque
Jenko
Where to buy next?
2 3
Replies
42
Views
10K
Jenko
Jenko
E
Which one? Redcliffe, Brighton or Slacks Creek
2
Replies
34
Views
8K
Investor78
I
C
Brisbane- what to buy
Replies
10
Views
3K
LeoT
L
T
Where To Buy Brisbane
Replies
5
Views
2K
RetireRich101
R
Back
Top