Brisbane tipping point - strong price growth over 2019 to 2022

What about an older block of units on the Redcliffe Peninsula, very close to the waterfront?

 

Nah, I was **** stirring

You know there a lot of better property forecasters on PC than me ...

Some are predicting a crash while others are predicting a boom, all on the same day .

TBH, I couldn’t give a ****. As you know, we are B+H investors and are NOT in accumulation phase.

Although this could change (and we could come out of retirement) if prices drop 80% and we can get a house in Mansfield for $125,000 like we did in 1992 .

I might vote ALP in May and watch this happen

 

All that will happen is more BS from BS

 

That would be gold ...they don't make much land near the water.....Redcliffe in my opinion is very undervalued compared to places like Cleveland.

 

Are developers jumping in and if so where????

 

Places most investors can't afford. In sub blue chip areas there are a lot of "development opportunities" for sale with planning permission for town houses. You'll be lucky to sell a new town house in an ordinary Brisbane suburb these days.

 

There are a couple of pockets I know about ( mainly through my town planners) where development value is looking good for medium density and even single houses in very specific locations . Obviously I won't disclose on a public forum but they are around. You need to be really selective with end value price points and the demographic you're targeting in Brissie. By the time every man and his dog know about a good development area its pretty much over for buying value to make a decent profit.

 

Can you clarify?
Are you saying developers can not sell stock?

 

OK

I have seem some nice upmarket homes on smaller lots over $1m

 

By the time you subdivide it...pay the infra levies...and then build the home (quite expensive to build in Qld compared to Perth and Melbourne).....there is not much profit.

The buying in the better suburbs will cost 700k plus...add to that 100k to subdivide.....and then about 450k to build a upmarket home. Then add about 70k in selling, marketing and holding costs.

You sell for maybe $1.1 if you are lucky....970k cost....would you do it for 12-15% net margin???

No thanks....I can make that sort of gross margin in Melbourne and Geelong even today.....H&L build 430k...sell for 490-540k.

 

Right that makes no sense

I hear Its infrasture costs in Brissy that will kill the deal

 

Yep! But that becomes a boon if labor gets in.....

 

I took a random address around Moorooka for house and land valuations, close to some family members that live there, enter address:
46 Northview Outlook Moorooka 4105
for "enter address or property ID" in the link below:
Find your annual land valuation | Queensland Government
and see for yourself, all surrounding land valuations increased by around 15.5%, so I would say mostly land in Moorooka went up quite substantially, so I am unsure how your daughter's land went down...? I would say majority increased perhaps minority decreased?
Even my block of units land in other suburb increased in land value....on the north side though....

 

It makes sense if you bought the land a few years ago like i did. Net returns are around 20 to 25% and more if you have city views. End value stock ranges from 1.2-1.4 plus mil.

 

Nice

 

The land for my property (4br house) in Moorooka went up 14.7%. I would say house prices have crept up over the last couple of years in Moorooka. probably not to that extent. closer to 10% in two years

 

Ppl are really paying a nice premium for a contemporary or Hamptons house on smaller lots in great OO areas. Returns really depends on your specific location, finishes to the home and when land was bought.

1 example on a tiny 405sqm lot . Though the profit margin will depend on when you bought the land.

84 Harold Street, Holland Park, Qld 4121

 

Thats a nice property

 

How , what will labor do to council infrastructure charges?

 

Same here. Not a spectacular growth but steady. Agent just advised us to increase rent $5/week - of course not much but better than our unit in western Sydney reducing rent due to oversupply