QLD North Brisbane Moreton Bay advice needed

I don't know your strategy, do you want to hold for the long-term (2-3 cycles), is it IP or somewhere you are looking to live one day? Would you do a simple reno? Do you have a timeframe to buy? Or can you dedicate a lot of time to finding a good deal? I have property in Moreton Bay, BCC and Redlands, and all have done well- there is no chrystal ball but I think that if you stay away from units/townhouses, undesirable areas, main roads etc, you should do well. Look at your budget and up to $400K, some vendors may be more motivated to sell.

 

Hi Cate, you seem to be highly invested in the Moreton Bay Area, do you see potential for airbnbs in any of these suburbs along the Redcliffe Penninsula?

 

Hi Lisa ,

We have a mixture of homes throughout Moreton bay , in particular the peninsula.

We haven't seen a huge uplift in Air BnB but have seen of late that older Style homes with decent renovation are moving alot quicker since the election/rate moves ECT .

Depending on Budget of a 3 or 4 bedroom , 600sqm-800sqm , there is a moderate amount to choose from under $600k .

Personally I would identify a solid foundation , 600sqm land and walking distance to waterfront , that needs some TLC as these are the ones to get solid gains from.

Some homes are selling for 400k in the same streets as say an 800k+ fully renovated home.

Plenty of meat in the middle.

Woody Point
Clontarf
Scarborough
Margate

Wouldn't put money down in Kippa Ring tbh.

 

To add to that, the Peninsula hasn't had the 10-20% falls the southern states have had, but its been an slow grind 2-5% gain.. not shooting the lights out but we are in no rush to sell.

 

Thanks for the insight! Yes, I'm looking at a long term buy and hold strategy. Contemplating putting a granny flat on or airbnb to increase yields. I'm from the southern states so not too familiar with the QLD market. Do any of the suburbs you mention outshine the others? or is it all similar as they are so close together? I kind of had my eye on Redcliffe, but if the numbers stack up, I don't really mind as long as there is potential for long term CG and the yields are reasonable.

 

Pretty much agree with other's sentiment. Personally, I think you'll struggle to get a quality property for $300k - $350k in Strathpine but Petrie/ Lawnton are still good bets.

Even though trains aren't that important in Brisbane/ Moreton Bay now it's still better for the long term to be closer to a station so please keep that in mind.

Be careful with Kallangur and areas further North. There's a lot of house and land stock being built. Keep your land size above 500sqm to be safe.

 

Scarborough has always seen a steady market and has great pockets throughout . Stay clear from Benson ,Grace and Roma streets in this suburb as they attract a different crowd. Otherwise you can throw a dart on all the other pockets in Scarborough and find a slice of gold.

Woody Point is the most south easterly pocket and has been a hidden gem for most of the time.

Margate is very undervalued on the eastern side of Oxley you can still get sub 450k with decent land exposure if you wait on sideline.

Clontarf is the dark horse of the race being the first suburb after the beautiful drive over the bridge. It still has a large component of older Style homes ready for demolition on decent sized land. It's the closest to Brisbane CBD and short drive to Sandgate station or Kippa Ring station.

All in all if not picking the central of the peninsula ( Redcliffe itself) the other surrounding suburbs all have their own quirks .

 

Why would you say trains aren't that important here?

 

Guys, what are the thoughts about Kallangur. have you seen much growth in recent years there? I bought one IP in 2016 there and 1 in 2017. i believe I overpayed for 2nd one though but I hope long term it should not make a lot of difference for 10-15k overpaid price.
Is there a lot of new releases happening there. My PM says university wont have much impact on capital growth as it is already factored in at the moment.
Thanks!

 

They are important still, just less important when comparing the impact trains have in bigger cities such as Sydney & Melbourne. Areas close to train stations become much more desirable when road congestion increases as more people turn to public transport for commuting.

In cities like Brisbane where congestion doesn't impact commuters as much as it does in cities like Sydney the difference in house price value for areas with a train station versus those without isn't as drastically different.

Right now in Brisbane ~6:30pm:


Right now in Sydney:


For example:

Two suburbs that have similar housing stock built up in the same period with spattering of council housing and a low-middle class demographic:

Keperra has a train line and houses have a median of $545k Keperra Property Market, House Prices, Suburb Profile & Investment Data

Arana Hills right next door has no train line and houses have a median of $550k
Arana Hills Property Market, House Prices, Suburb Profile & Investment Data

Furthermore Brisbane's road congestion problem is paltry compared to Sydney's.

Brisbane: There is $1.3 billion going into 90 road improvement projects to be delivered by 2020 to tackle congestion in Brisbane, by focusing on a range of solutions to improve the existing road network.

Sydney: The NSW Government has $110 billion worth of plans for Sydney's transport.

 

Take Strathpine and Bray Park next door to my suburb and where my kids rent. A typical 3 bedroom home in these two suburbs will cost, last time I looked, up to $30k more close to the stations than a similar property 3 klms away but still in the same suburb. Rentals will vary by up to $50 a week.

I wouldn't compare "median" Arana Hills vs Keperra either - Keperra is made up of a LOT of HC and ex HC, and has a large number of low-lying properties and properties that slope down from the road. On the other hand, AH is mostly newer, larger, elevated family homes that were built for an entirely different demographic. Keperra is in Brisbane LGA and AH is in Moreton Bay. There is a significant price drop the moment you cross the road out of Brisbane LGA, and the nicest section of Keperra is furtherest away from its train station. The percentage price gap of properties near stations will always be there.

The government up here is still trying to fix their train problems. The state election cant come soon enough.

 

Agree that properties closer to train will be worth more than far away. I think in Bray Park & Strathpine it's compounded by the fact the Westfield and offices are also near and along Gympie Road which is parallel to the train line. So the value isn't just the train line...

Take Dakabin train station which isn't around as many other amenities. House prices don't vary that much from distance to train but more so from their land size and condition.

"AH is mostly newer, larger, elevated family homes that were built for an entirely different demographic"
Yeah sorry disagree with this. It's mainly 1970's/ 80's housing stock. Source: have bought about 50 properties in the suburb. Maybe that's the case in Upper Kedron though. I get there's a difference in the council housing in Keperra, and there's a reputation difference still from yesteryear though... From my experience there's plenty of very similar two story 1970s brick bottom houses all through Keperra and Arana Hills

"There is a significant price drop the moment you cross the road out of Brisbane LGA"
Yeah again disagree with this. I don't think the council border has anything to do with any price differences.

See Everton Park vs Everton Hills. Basically same median price, different council. I'd also argue that Everton Park has more going on than Everton Hills too.
Median = $602k / Brisbane Everton Park Property Market, House Prices, Suburb Profile & Investment Data
Median = $604k / Moreton Bay Everton Hills Property Market, House Prices, Suburb Profile & Investment Data

Yes, I hope that the trains improve there too!

 

Totally agree about the 1970s and 80s houses, but what I was referring to at Keppera is that it is a much older suburb than the Hills suburbs. Places like AH and EH didn't exist when Keperra was first being established in the 50s. Different demographic back then. My original quote said "mostly newer, larger, elevated" not new.

 

Ah I see thanks for clarifying Angel, I think we're pretty much on the same page then

 

yep

 

Wanna debate Ferny Hills and Ferny Grove?

Nah, I cant be bothered

 

Both good prospects though if Brisbane does its thing in the next few years wouldn’t you say?

 

That may be a thorny subject.

 

What are your thoughts on Ferny Hills?

 

What do the other colors mean?