Will Brisbane outperform Sydney over the next 12 months?

Discussion in 'Property Investment - Other' started by Richard Feynman, 30th May, 2015.

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Will Brisbane dwelling values outperform Sydney over the next 12 months?

Poll closed 29th Jun, 2015.
  1. Yes.

    21.1%
  2. No.

    50.4%
  3. Tie.

    6.5%
  4. I don't know.

    22.0%
  1. JDP1

    JDP1 Member

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    This is my observations as well. Some of this is attributable to cultural differences also some to supply and affordability constraints in Sydney.
     
  2. JohnHenry

    JohnHenry Mister

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    Correct, therefore investing a house & land package in Brisbane or in QLD state will be a good choice for a capital gain purpose in the next 5 years onwards.
     
  3. sash

    sash Member

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    Hey....mate...you are cutting my grass... ;)

    Why would you possibly warn the punters of the impeding issues regarding apartments in Sydney. After all I want to be buying these for a song! :D

    In all seriousness you are absolutely correct.:p

     
  4. JDP1

    JDP1 Member

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    I wouldn't say it's as simple as that.

    New H&L are usually is secondary locations. At the end of the day..ie long term, location will usually come out on top of the cg list. If you can get established h and l in a good location, by all means...But they will likely cost you more.
     
  5. Deltaberry

    Deltaberry Member

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    There is a much bigger oversupply problem of apartments in Brisbane than Sydney.
     
    JohnHenry likes this.
  6. JDP1

    JDP1 Member

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    Yes, oversupply of new apartments is more in brisbane compared to Sydney. This is because sydney has the expected pop growth to absorb the demand and also because of supply and affordability constraints of other dwelling types in Sydney .
    Not so compared to Melbourne as the scale is just too large .

    Having said that, anyone care to join me in hyping southbank/Docklands OTP?:D I'd love to compete with all that dodgy overseas money for those...
     
  7. jerrybee

    jerrybee Member

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    It's not just population. Sydney's apartments are more spread out where's as a lot of Brisbane's are in the CBD...and Brisbane CBD is nowhere near as nice to spend after work hours and weekends as Sydney and Melbourne CBD's.

    Sydney's apartment building is quite the opposite really - there's literally only a few of them being built in the CBD because there's such little land. Most of them are spread throughout the whole city, in satellite suburbs like Chatswood, Burwood etc, so it's not all targeting the same market of people who want to live in the CBD.

    Brisbane's problem is both volume of stock AND concentration in the same area. The latter is what a lot of observers ignore when comparing it to Sydney.
     
  8. MIW

    MIW Member

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    I would be watchful OTP apartments in Sydney, especially when Chinese stock are down 20%, so they may be subjected to frequent margin calls, perhaps requiring then to recover invested funds from Sydney OTP?
    Also, Greece default may soon dictate short term consequences on most lending criteria and whether the lending countries would need to figure out how to write off the bad debts?????
    Interesting times ahead, indeed....:eek:
     
  9. JohnHenry

    JohnHenry Mister

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    Cool, thanks for the update on the Macro economics :)

    Let's hope that the property in Sydney can be corrected into 20-30% cheaper so that first home buyer can finally enter the market.