Was Brisbane a mistake?

maybe much shorter.

 

Yes definitely a mistake..... (NB....this will bring the trolls out of the woodwork.. )

 

Depends when within the last 5 years are you referring to.

If I bought in Brisbane in 2012/2013 or 2014 there would most definitely be regret - because then I wouldn't have bought more of my houses in Sydney and prob lost out on more than 1.5 million in capital growth.

If I had bought in Brisbane say in 2016/2107 then probably the answer is no since you wouldn't have missed out on a life changing amount of capital gain and you probably have entered the Brisbane market at the best possible time to ride the wave as it begins to heat up

 

Why interstate migration is this year’s property buzz word for Queensland

This might help......

 

Interesting to see 38% (no small amount) regret purchasing in Brisbane. I suspect it all comes down to where and when they bought over the last 5 years. Just goes to show how many groups of investors can invest in the same City and have vastly different results.

 

So far it has been a mixed bag for me in Brisbane. Overall, CG across Brisbane properties has been underwhelming but the yields have been great, and have been consistent for me.

I think the thing that appeals for me is this: I'd always viewed Brisbane as a medium-long term yield-spinner into retirement. See, properties generally were so much cheaper to buy there but with solid yields. This means in this low-interest-rate environment, I've locked away cheap interest rates and using the high yeilds to aggressively pay down loans as much as possible; which in turn further improves yields.

I really hope CG improves, but if it flatlinea for ten years; so long as I can maintain current yield levels (or maybe even a bit higher in a couple years!), these yield-spinners will be great long term holds.

 

Might I add (and purely anecdotal); being from Sydney; over the past few months I've attended parties/dinners/picnics etc. and not one but three separate couples I know have all said they will be moving to Brisbane in the next year. Coincidentally; each of them are either pregnant with, or have just had, their first baby..

 

Correct. Many have said over the last few years that location and asset type is important in Brisbane. Get those wrong it's definitely in the regret column. Not nearly as much is Sydney /Melbourne.. Ie the exact location and asset type is not as sensitive to cg in Mexico than it is in Brisbane.

 

Not regretting as i think it will do very well in the next 3-5 years. Sydney has done us proud and its now Brisbane's turn to shine babe!

 

Yep forgot to mention asset type but its probably because I'd never buy anything other than a house in Brissy so goes without saying for me personally . Almost as important ( could be equally important in some instances) as location imo.

 

Would you consider a townhouse or only freestanding?

 

Would I consider a townhouse for my goals etc? No. Only free standing in good OO area.

 

No not yet as I only purchased roughly two years ago. Haven’t bought outside QLD for investment yet so really hope it does come soon

 

Ask me in 2020 how I feel about it.
Both property at 5km and 7km from the CBD.
Would I have done better than Sydney if you ask me in 2017. My answer would of been obvious.
Still won't sell my Sydney place - I need somewhere to retire ( National Park reserve / river )
Timing is the key, which I am not terrible good at.

 

Its about opportunity costs i think.

As well as some investors have done in Brisbane over the last few years purchasing in the inner ring which has had stable if not spectacular growth, they could have done better in most other cities if they used their same skill & sought likewise opportunities (not Perth or Darwin i guess, and maybe not Adelaide).

Pan forward another 5 years, its probably unlikely Brisbane will be the worst performer on the eastern seaboard (like it has been, by some distance, over the past 5).

 

Agreed - it's a balance. Whilst you can look at snapshots in time for growth results, property is generally a long term asset where you should consider how it will interact on a multi-cycle history. Brisbane will continue to be a place worth investing in over the long term.

 

Agreed....because I'm there

 

@JDP1 please tell us you've held on!

 

It is 2021 - time flies when you are having fun.
Yes I have held on my properties and have added 1 more.
No regrets so far,otherwise why would I add 1 more IP in 2020.

 

For most, Brisbane has definitely under-delivered against expectations. What I have learnt over the years is that Brisbane is NOT Sydney or Melbourne and expecting Brisbane to boom like two big cities was probably a mistake on part of most investors.

I invested in Brisbane because Sydney didn't provide yields anywhere closer to Brisbane. However, had I known that interest rates were going to fall and stay low, I would have put all my eggs in Sydney basket.

How has Brisbane performed for me in comparison to Sydney? I would say it's NOT even in the vicinity or even in the same league. Investing in Sydney which has international appeal and flow of worldwide capital shouldn't be seen as same thing as investing in Brisbane... it's still very regional, capital derived and very few job/business opportunities exist compared to Sydney.

May be a Sydney-Brisbane co-cycle existed 20 years ago but it doesn't exist anymore. Brisbane has fallen way behind to serve as a mass Sydney alternative and there aren't very many people who wouldn't take a serious wage hit by moving to Brisbane even for low skilled professions.