QLD How is Gladstone going?

Has anything happened in the last two months?

 

I haven't heard anything recently but I'm interested to know as well.

 

The vacancy rates in Gladstone are gradually dropping again, seems to be a lot less movement in rents and prices over the past 6 months than the previous couple of years (i.e. not really dropping any more).

One of the LNG plants has basically wrapped up construction, a couple of the others aren't too far off doing so either from the looks of things.

 

Was up there 2 weeks ago and talking to locals things may get a little worse before they get better. As Norwoodman said construction has wrapped up and the rest of the plants are laying off locals first before the fifo's, seems strange but that is what they are doing. Could be a bit of mortgage stress coming as there is little other employment there, other ancilliary industries , electricians, engineering also laying off as a flow on effect.

 

Mate of mine in Gladstone went to ANZ bank in the last month for a house loan and was told by them that they consider Gladstone to be a 'mining town' and as such he would need 30% deposit.
So who knows what is happening other than pain and heartache for many

 

With 30% deposits required I can only see the prices heading one way

 

Bechtel still has 239 homes in Gladstone, despite a 6000 person camp on the island. All of these will be back in the "for lease" pool soon enough.

http://www.gladstoneobserver.com.au/news/bechtel-monitoring-impact-real-estate-market/2723961/

 

Extremely quiet from my perspective. Gladstone used to keep me pretty busy with a visit every fortnight at times for tax and new construction. Now I have nothing on the books there. Very little new construction happening for obvious reasons.

The lack of depreciation work is pretty consistent with the virtually down to Nil purchasing of properties by investors. Unless Scott tells me he's busy....

Agents say that its mainly owner occupiers buying now and that they often boot tenants out to get the new owners in ! It's not like there's nowhere for the tenants to go!

Cheers

Neil Richardson

 

Another drop in rent for me, currently have a 3/1/2 house renting for $310 a week, tenants have said they will sign a new 6 month lease for $250 a week. PM reckons thats what comparables are going for, I've gone back with $280 a week, will see what they say, fml.
Early mistakes that keep kicking you in the guts..... anyway, on with it

 

I missed this one. We're doing a few jobs in Gladstone, but they're not recent purchases. We did one recently for a bloke who has had a new house for 2 years and only just heard he could claim this 'thing called deprecation or something'.
Scott

 

Hehe, good stuff.
Is he able to claim back to the previous year from now?

 

He was going to have to amend last year's tax return, but it was worth it for a $9,000 deduction.

 

Definitely, a bit of a pain, but fortunate for him he realised.
Is there a time limit on it?

 

It's very easy to amend 2 prior returns, possible but not as easy to go back further.

 

will there be a "ripple" from brissy up to gladstone? thats probably a front runner for anything happening but seems unlikely.
seems like prices are back where they should be, but will the amoun of stock hurt the area for a while yet to come.

another topic, what are everyones rates like? Im in a group on Facebook for general gossip around gladstone (used to live there, bloody hilarious page most of the time) but they are all up in arms over recent council rates increases. some of the numbers they are talking sound like they are double what they should be! average house and block $3k+

 

Stopped in there a couple of weeks ago on my way up to Rockhampton to sell my house in Allenstown.

It was a Ghost town compared to the 4 years I spent there to 2014.

Not looking too good either with no work on the cards for anytime in the future.

 

Not familiar with how much Gladstone rates are, but 3k is on par with what you'd pay on a decent block of land in a nice suburb in neighbouring councils (Bundaberg and Rockhampton).

 

Rates - bang on $3000 without the discount. That includes water connection and six months of water usage. 690m2 block of land about 5 kms from cbd. It's cheaper than North Lakes when you add all water and rates together. Insurance is just under $2000.

 

I'll have another read. Apparently they are (the mob!) saying a 10%+ increase.
the vocal ones aren't happy as their property prices have dropped 40k and feel rates should go down to

 

The general rate did go down. Just the price of all the add ons went up.

I just got my rates notices out and compared the two years again - mine has gone down overall, about $170.