Monday, July 12, 2010
El Dorado Indooroopilly
Thursday, July 8, 2010
How many bubbles?
Triguboff's View of Brisbane Apartments
"... In Brisbane the market is tougher and Triguboff may need to hold many of the apartments being built as an investment.
He says that it seems that as you go north prosperity declines with Melbourne the most prosperous city followed by Sydney a notch down and Brisbane two or three notches below Sydney. Prices of two bedroom apartments in Brisbane sell for about a 30 to 35% below Sydney, partly because of the lower cost of land and partly because of the lack of confidence in Brisbane.
However Triguboff believes, in time, the gap will narrow. Brisbane buyers' confidence has been shaken by the collapse of a number of apartment projects. But Triguboff believes that in time Brisbane will regain its confidence and he will have the apartments there to sell. ..."
From Smart Company
Monday, July 5, 2010
Comment from Prestige Agent
The Studio at St Lucia near University of Queensland
"High demand rental areas with reasonably assured income are a safe bet and one of our tribe suggested St Lucia is a good place to park the dough. The nearby university and ready access to facilities add up to strong demand. One development is claiming a 6.5% return on a $440,000 outlay for a double studio apartment design where both tenants share kitchen facilities. It’s geared towards cashed up, overseas students willing to part with over $250 per week per studio, which could prove to be a tall order. Our advice, if you’re interested in this type of investment, is to consider all options. Second hand multi bedroom units are offering a solid return and, more often than not, better capital growth potential compared to new stock. Just make sure you talk to one of our valuers before proceeding headlong into any under researched option."
Tuesday, June 29, 2010
West End - Montague - from agent's email
- BUZZING WEST END RIVERSIDE LOCATION
- INSPIRED DESIGN BY INTERNATIONALLY RESPECTED COTTEE PARKER ARCHITECTS
- RIVER, CITY AND PARK VIEWS
- LUSH, SUB-TROPICAL LANDSCAPED CENTRAL PLAZA
- LAP POOL, GYMNASIUM, RESIDENT REST & RELAXATION SPACES ON ALL ROOF TOPS
Bubble?
"There are fewer buyers out there. When houses are selling the best way to sell is at auction. But in a slower market, that's not the best way because you're not going to get as good a result."
"There are listings everywhere. We're in a situation now where buyers are backing away, but there are still people trying to sell. They're not going to get the prices they had hoped for, and it's going to be disappointing for them."
Christopher says that over the rest of the year, there will be an oversupply of stock in the market, which will put downward pressure on prices.
Additionally, he says property investors wanting to sell should have made their move in the first four months of the year. Now, he warns, they may have missed their chance."
See Property Market Has Cooled from SmartCompany
Waters Edge Update
Monday, June 28, 2010
Number of Unit Sales Decrease
Gold Coast Oversupplied
Units in the city's biggest projects -- Oracle, Soul and Hilton -- are due to settle later this year. Settlement will depend on valuations, available finance and the circumstances of the owners.
Bill Morris, author of the report, said settlement of these projects would be the 'litmus test' for the market, with many buyers handing over deposits before the onset of the financial crisis, when unit values remained strong. He also said there was enough available stock for five years."
See also
http://www.goldcoast.com.au/article/2010/06/11/227041_gold-coast-real-estate.html
Friday, June 4, 2010
El Dorado Indooroopilly
Purchase as an investment property the A3 Type or A4 Type 1 bedroom apartments currently available for sale at El Dorado Village and Pretoria Property Group will provide to you from time of Settlement:
• Rental Guarantee @ 5% Gross rental yield paid for 2 years;
• Body Corporate fees paid for 2 years;
• Brisbane City Council Rates paid for 2 years;
• Supply and Installation of Door and Window coverings;
• Depreciation Schedule.
With the development earmarked to complete construction at the beginning of 2013, the above package will mean that the astute buyer will have nothing more to pay until approximately 2015.
So it begs the question, ‘if investors and upgraders are currently driving the residential property market then how much capital growth do you think residential property in Indooroopilly will achieve in the next 5 years’?
Recently in the ‘Matusik Market Update’ (dated March 2010) Michael Matusik stated that, “new apartments in both Toowong and Indooroopilly have seen consistent price growth in recent years. Last year the average annual gain was 5.9%, with owners making $102,000 in gross terms between sales. This compares well within just a 1% average growth rate for apartments across the Brisbane area during calendar 2009”.
In a recent article published by Investors Choice dated 1 June 2010 it was stated, “Brisbane will experience 10% per annum growth over the next 3 years” (click here to See Article).
With the suburb of Indooroopilly being a traditional high growth area the thought of purchasing a secure investment at today’s prices and watching that investment grow in value over the next 5 years is indeed very appealing.
El Dorado Village itself is a mixed-use development that comprises retail, cinema’s, commercial and residential tower. It has been identified that mixed-use developments such as El Dorado command higher growth due to greater demand to live in such complexes (click here to see extract from Michael Matusik).
This is a limited investor special and will only be provided to the first 10 buyers. One bedroom apartments at Eldorado Village start at $397,000.
Thursday, June 3, 2010
RP Data April 2010 Index
Several cities recorded a dip in home values in April, with Brisbane values down 1.2 per cent, Perth values down 0.9 per cent and Darwin recording a 0.3 per cent fall. While both Brisbane and Perth have been consistently weak performers over the last year, Darwin dwellings have risen in value by 54 per cent since the start of 2007.
According to Tim Lawless, RP Data’s Director of Research, the April results are the lowest monthly capital gain since the end of the GFC-induced downturn in December 2008.
“A wide range of indicators have been hinting that a slowdown was on the cards. We are in a market now that has lower auction clearances, weaker home loan approvals, and lower consumer confidence. Combined with the six recent interest rate rises, and the fact that home values have recorded very large gains across key markets since the start of 2009, it is not surprising to see values start to track sideways,” Mr Lawless said.
Christopher Joye, CEO of Rismark International, added, “We have been forecasting a cooling in capital growth rates back down to single digit levels since October last year. Australian disposable household incomes rose by 11.5 per cent in 2009—unsurprisingly, the cost of housing increased by almost exactly the same amount. In 2010, disposable household income growth will be less than 5 per cent. Over the long-run, residential property values track purchasing power quite closely. We believe 2010 will be no different in this regard.”
FKP's The Milton - in pre-release
- 303 Residential Apartments in one and two bedroom configurations from level 2 to 30.
- First Floor Commercial.
- Ground Floor Retail outlets and Promenade.
- Almost every apartment has at least one Car Park.
Sunday, May 30, 2010
Buy in the Bust?
Saturday, May 29, 2010
Offsite Letting Agents
Monday, May 24, 2010
Recent Sales
- MacArthur Chambers - 2 beds, 2 bath, Apt 609, 229 Queen Street, sold for $790,000 and now listed for rent at $730 per week furnished.
- Aurora Towers - 2 beds, 1 bath, Apt 365, 420 Queen Street, sold for $490,500
- River Park Central, 2 bed, 2 bath, Apt 1102, 120 Mary Street, sold for $420,000
Devine Hamilton
Saturday, May 15, 2010
Vue Apartments
- Apt 1705, 2 bed with roof top terrace listed at $750,000 being sold by the original developer FKP
- Apt 3102, 2 bed, renting at $460, listed at $430,000 (sold for $350,000 in 2006)
- Apt 2303, 2 bed, 5th floor, listed at $470,000 (purchased off the plan for $440,000 in 2004)
Ray White Auction Results
"Ray White South Brisbane principal Dean Yesberg said 17 out of 54 properties sold on the day. “We had a large number of buyers and a positive response but the number of sales was down on previous years,” Mr Yesberg said. “Certainly the message we got out of the day is that owners need to bring their expectations back into line with the marketplace and what buyers are prepared to pay. People still want to buy but recent interest rate rises and current uncertainty in the world economy is starting to make people nervous. “It was a successful day but it was a tough day at the office.” Despite the lower than average number of sales on the day, Mr Yesberg expected more properties to be sold over the next week.
- Quay West Sub Penthouse Apartment 2403
- Quay West Apartment 2006
- Admiralty Towers Apartment 123
Sunday, May 9, 2010
Skyline
My favourite floorplan in Skyline (30 Macrossan Street) is the G2 floorplan. It is a 3 bed apartment, and most have 2 carparks. There is a big difference in views from lower floors (which have a good city street view towards the Marriott Hotel, and some river glimpses between Admiralty Quays and Admiralty One) and the higher floors, that have a river view over Admiralty One.
Recent Apartment Sales in Brisbane City
- Apt 1205, 1 bed, 1 bath, no car - sold for $350,000
- Apt 1902, 2 bed, 2 bath, 1 car, river views - sold for $660,000
- Apt 3205, 2 bed, 1 bath, 1 car - sold for $520,000
- 2 bed, 2 bath, 1 car - 7th floor, sold for $475,000
- 1 bed, 1 bath, 1 car - sold for $345,000
- Apt 1903, 2 bed, 2 bath, 1 car - sold for $460,000
- Apt 2809, 1 bed, 1 bath, 1 car passed in at auction - auctioneer's bid of $395,000
Saturday, May 8, 2010
Edenview at Kelvin Grove
The Studio, St Lucia
Ferry Road, West End
Riverbend Indooroopilly
Real Estate Marketing Videos
Thursday, May 6, 2010
Alderley Square Update
"Alderley Square is a village-style, mixed-use community inspired development set to reinvigorate the heart of one of Brisbane's most established suburbs. It combines the finest of residential apartment living, a thriving retail centre and a bustling commercial precinct.
The 241 residential apartments comprise a mixture of studio, 1, 2 and 3 bedroom residences over two towers and a terrace homes complex.
Both owner-occupiers and investors alike will appreciate the open plan designed apartments with generous sized balconies to take advantage of the prevailing breezes. Breathtaking views to the CBD, North-East and over the mountain will significantly enhance the 'Queensland lifestyle' feel of Alderley Square."
Wednesday, May 5, 2010
103 Mary Street
A proposed new apartment at 103 Mary Street, between the Vision hole and River City. It will impact the views of River City and 212 Margaret Street.
Monday, May 3, 2010
Beware of unlicensed offsite operators
Oaks Fined for Car Park Leasing
Brisbane City Council has fined The Oaks Group for unlawfully leasing residential carparks to commuters after an investigation which City News understands lasted several months.
According to its website, The Oaks Group arranges short-term bookings for eight unit blocks in the CBD. Car parking spaces meant for long-term residents have instead been leased to inner-city workers for up to $5000 a year. Councillor David Hinchliffe (Central) welcomed the penalty and said he believed the practice was widespread and was “potentially just the tip of the iceberg”.
He said he believed senior managers in both the private and public sectors had paid for carparks made available in contravention of the Council’s planning approvals. “If you’re operating a commercial carpark, then you need to be zoned and approved for a commercial carpark,” he said. “One carparking space can generate easily around $5000 a year in revenue for the company, 200 car spaces are worth $1 million in revenue.
“My understanding is that apartments are being rented out without carparks so that the company can lease out the carparks separately to commuters, encouraging more people to drive to work and park and adding to congestion.”
Brisbane City Council failed to answer several questions about the practice before City News’ deadline. When contacted for comment, an Oaks spokeswoman replied: “We are not at liberty to respond to that matter.”
M on Mary
Bad Onsite Agent
An investigation by the Office of Fair Trading has resulted in a Kangaroo Point-based resident letting agent and his company being banned from holding licences under the Property Agents and Motor Dealers Act 2000 for ten years after ripping off unit owners.
Minister for Fair Trading Peter Lawlor said Leigh Gregory Craig, who was also fined $2500, was found guilty by the Queensland Civil and Administrative Tribunal of failing to follow his clients’ instructions and producing false invoices. His company Brass Properties No 1 Pty Ltd was also banned for 10 years and fined $3,000.
“Mr Craig first came to the attention of Fair Trading officers after they received a complaint from a unit owner who was falsely charged a $132 fee for the retrieval of a set of car keys accidentally dropped down a lift shaft,” Mr Lawlor said. “Following an investigation, Mr Craig was also found to have advertised Bridgeport Apartments for short-term letting which flies in the face of body corporate by-laws which impose a minimum period of six months.
“He deliberately misled unit owners by failing to disclose the higher than usual fees he was charging renters, which at times was double the normal amount. This additional income was not passed on to the unit owners. This type of behaviour has no place in Queensland’s real estate industry. Queenslanders deserve to know they are dealing with reputable and licensed agents,” he said.
"This decision is a clear reminder to the real estate industry to act responsibly. If an agent chooses to breach the law by deceiving their customers, they risk the loss of their licence, reputation and livelihood. The legislation is there to protect businesses and clients, and must be complied with. Licensees caught doing the wrong thing will be penalised."