Friday, April 24, 2009

Survey Prediction

"It is predicted that the residential market in Sydney will be the first market to move forward next year, ahead of the other property classes and markets in Melbourne and Brisbane, which won't see any growth until 2011," said Mr Hecek.

Source: The Australian

Stockland Results 2009

Mr Quinn told analysts and reporters that Stockland’s residential sales performance remained strong, particularly among first-home buyers, and there were signs of recovery among second- and third-home buyers.

Mr Quinn said the high-end residential market remained soft and continued to affect Stockland’s apartments business.

Source: The Australian

Brisbane Rents

"Apartments are leading the surge in Brisbane rental prices, with weekly bills soaring more than 13 per cent in the past year.

New figures released today show the median rental price for units in Brisbane has increased from $300 to $340 in the past 12 months.

The 13.3 per cent jump means Brisbane has experienced the largest increase in year-on-year unit rental prices of all the major cities in Australia, except for Darwin where the median unit asking price rose 14.3 per cent."

"For landlords and investors, rental yields are now approaching or exceeding mortgage rates, and in some areas positive gearing is a real possibility.

"This will provide some stimulus for potential investors to re-enter the market and take advantage of favourable conditions."

Brisbane Times

Property Opinion re Australia

"Australian residential property markets are in much better shape than residential markets in Britain and the US. Higher lending standards in Australia mean there are fewer defaults forcing house prices down. There is a housing shortage and immigration, despite a cut, still remains strong."

Brisbane Times

Sunday, April 19, 2009

Aurora No Sale

Auction on Saturday: Aurora, Apartment 609, 3 bedrooms, 60th floor, passed in. Now listed at $825,000. Previously listed at $915,000

SL8 in West End

SL8 in West End is nearing completion. The building has an industrial look, and the apartments have good views of industrial sheds.

2 bedroom listed for re-sale at $570,000 (Apt 203)
2 bedroom listed for resale at $560,000 (Apt 213)
2 bedroom listed at $690,000 (Apt 241)
2 bedroom listed at $550,000 (Apt 142)
2 bedroom listed at $617,000 (Apt 214)

For most of these apartments, the second bedroom looks over the back (open) hallway.

"With more than 90% of the 1, 2 & 3 bedroom apartments sold, limited opportunities remain to invest in SL8’s West End apartments. The two bedroom apartment final release is now selling from $565,000-$975,000."

See SL8 Real Estate (FKP)

Update: See readers comments here.

Thursday, April 9, 2009

Rental Yield for Brisbane apartments (REIQ December 2008 Quarter)

Postcode Suburbs RankYield
4000Brisbane City, Spring Hill 16.30%
4169East Brisbane, Kangaroo Point 26.00%
4101South Brisbane, West End 65.10%
4068Taringa, Indooroopilly 75.10%
4006Newstead, Fortitude Valley 85.00%
4066Toowong, Auchenflower 95.00%
4005New Farm 114.80%
4067St Lucia 144.70%
4059Kelvin Grove 184.50%
4007Ascot, Hamilton 214.50%

Sunday, April 5, 2009

St Lucia - Visage and The Studio

Visage at St Lucia has sold out prior to completion. There are 26 apartments. Off the plan projects, if priced correctly, are still selling out. 2 bedroom apartments priced from $470,000. Developed by Aspect Property Group

This developer has DA to do a development within the University of Queensland grounds. Called "The Studio", this will be studio apartments for student.

Brisbane Unit Auction Results

Most of the above were auctioned at the Ray White Sunday Auction

Investors Returning

"Increases in rents have seen yields for Brisbane houses and units (at 4.4% and 4.9% respectively) increase, and yields for houses are now back to levels last seen in 2002. This together with lower interest rates is starting to make a more compelling case for investors, and counter cyclical investors are starting to return to the market."

"Prices did not peak until early 2008 and have only come back 5% since then. Whilst there is potentially further downside in the short term, the market is likely to stabilise and the high levels of demand are expected to see growth return once the economy starts to pick up. Brisbane has generally had high demand for apartments and units, and this means that the fall in prices for other dwellings has not been as much as for houses.

MLG Property Report - March 2009

Friday, April 3, 2009

New Website for Portside

Multiplex is still selling Portside Building 3.

Apartments for Sale
New website

1 bed plus study, level 12, 83sqm = $600,000
2 bed, 2 baths, level 15, 115 sqm = $1,120,000

Gold Coast Price Collapse

"Matusik Property Insights analyst Michael Matusik says the most dramatic price falls are in Gold Coast suburbs where premium and tourism-dependent holiday units are in oversupply. "Developers that have sold 60 to 80 per cent of the development are now looking for a profit or to break even so they quit the project and advertise apartments that were $1.1 million for $900,000," he says."

"L J Hooker's Surfers Paradise principal, John Newland, says apartments that sold for $1.4 million last year are being marketed for quick sales with asking prices about $800,000. He also reports a two-bedroom apartment with ocean views that sold last year for $580,000 is now listed for resale at $449,000. And another listed at $530,000 has been discounted to $439,000. Surfers International principal Malcolm Catchpole says an apartment that sold last year for $555,000 and rented at $560 a week is now on the market for $359,000."

For Full Story, See Domain

Toowong, St Lucia and Taringa Unit Report

"The Toowong Area unit market has seen a steady increase in median price during a five year period. Growth during this time was at a compounding rate of 9.6% per annum, with an average of 333 transactions per six month period. In the past year alone growth has climbed to register a median unit price of $410,000, equating to an increase of $43,000 or 11.7% from the previous year."

Source PRD Report from

One Bedroom in Roma Street Parklands

One bedroom for sale in Roma Street Parklands - Pinnacle - for $669,000. Nice apartment, but that seems expensive! Compare a one bedroom at Quay West for $450,000

Body Corporate Levy Defaults

There are some buildings where there are a large number of owners who have not paid their body corporate levies for some time. Typically, the owner is trying to sell the apartment, and so stops paying body corporate fees. When buying, I recommend that it is good to search to see if the seller is behind on body corporate fees -- as this may indicate that the owner is desperate to sell. I would also avoid buildings where there are a large percentage of owners behind in payments. For example, there are a number of apartments in Aurora where body corporate levies have not been paid.