QLD What's going on in Brisbane?

Have always wanted to buy in Brisbane.
A lot of my generation bought there after either missing or benefitting from the Sydney 2001-2003 boom. There was extended capital growth then I think.
Brisbane had a rough trot for a while there but it's an ideal location and many people move there purely for the lifestyle combined with the affordability.
Now waiting on some jobs growth which will come with tourism.
I like to buy before the growth so no hype please.
Where have you bought, sold, bought and held and why?
What's reallly going on where you are?

 

Brisbane southside as there are too many bogans on the northside

 

I agree stay away from north..too many bogans..the toothless hicks in the southside have moved to Logan, so it's better than the north.

 

My wife and I bought in Kelvin Grove and have an off-the-plan in Fortitude Valley coming up in 2018. To be honest, Brisbane growth is almost non-existent. If you are trying to buy a place with decent rental return, Brisbane is a good spot and maybe you can save for a better property, just don't expect the property value to go up anytime soon. Best wishes with the search.

 

My question. What was your motivation to buy the OTP property?

Can you offload your OTP purchase right now? Speaking honestly, I think you are probably not going to do well with it.

 

Speaking honestly, I don't think you could have been more brutal in your assessment. You could soften the opinion a bit @Gockie !!

 

Sorry Foxdan... you are right. It's harsh.

Ok. I can say to the poster-er.... "Congratulations for thinking of investing and congrats for finding this forum. However do you think buying an OTP unit in that area is a good investment? If so, can you enlighten me with the reasons why you think it's a good investment".

Is that better?
How else to say it?
Though... Seems like from reading his own writing that his honest opinion is that he believes Brisbane is not a great investment anyway since "its not going up anytime soon". But rental returns are ok...

My thoughts... you won't get anywhere without CG! Might as well do something else with the money to be honest.

 

Not all otp turn out badly. Same as flipping and jv's and the other common things that get bagged out around here.... and let's not forget brisbane and adelaide!

 

Have you looked around southern end of the sunshine coast? (I haven't)
Similar to nsw central coast where people do the commute to the city. Plus a new mega training hospital is about to open soon i believe

 

But an OTP in Fortitude Valley set to complete in 2018 though?

 

Yep. We know other details.
If op comes back they may share more.
Better to buy otp in brissy than syd is probably one positive

 

I think buying an OTP in Sydney is a better choice than buying an OTP in Brisbane to be honest...
(And if you're wondering, I wouldn't buy OTP in Sydney)

 

Sydney is the only market for otp. Otp may work if thr place has a constraints on dwellings and strong jobs growth and is a large amd mature market with high prices baked in to established dwellings of a good location . Seen that in overseas cities and has worked well. Sydney is the closest yo that. Brisbane is far off being that..Brisbane has a lot of supply of all types in most areas even blue chip areas that are attractively priced. Plus there is no hurry to secure anything at all in Brisbane.. It does not even come close to fomo in Sydney.
It's no comparison in my books. Not even Melbourne is a good otp market...Sydney is the only one that's passable - in the otp market

 

The reason for investing in Brisbane, instead of Sydney, is purely the cost. Sydney is crazily priced and rental returns are low, hence cost to hold is much higher in Sydney.

In hindsight, I would have been better buying in Sydney because of the increases but I've got 4 investment properties already in Melbourne and Brisbane and 2 settling over next 12 months.

I'm just not sure how long Sydney can keep up the growth, especially with record low wage growth.

 

If you purchased in Melb closer to 2013 and still holding you would have made some great gains?

 

Totally depends on product and location, OTP in Melbourne is going nuts. Smaller group, townhouses, units

 

Melbourne is fine, Brisbane just seems to lag. They just don't seem to be able to get solid growth up there. Given people move there from NSW, I'm not sure what else they could do to help. Maybe move some more Commonwealth work there?

 

Needs jobs... Brisbane needs to attract employers....

 

I started a thread "Why Brisbane has not boomed".......... nearly started WW3


Brisbane Property Market Outlook (Aquila Property Investment)
Extract below -

Why hasn’t Brisbane boomed?
Put simply, Brisbane has not experienced the population or jobs growth of Sydney and Melbourne. Population growth is down substantially on its average, particularly amongst interstate migrants, which is the kind of population growth that leads to more property being bought (as opposed to babies being born!). Migration is heavily influenced by jobs growth, and Brisbane has only produced 8000 new jobs in the last 12 months (half as many as the Gold Coast). Income growth has been subdued as well.



The boom in Brisbane apartment supply has stopped any price growth in this segment

At the same time, there are has been some major issues with oversupply in the unit market. The number of units settling in Brisbane in 2016 is double the total number of average yearly unit sales (both new and established). This is an extraordinary figure. This wave of new supply isn’t getting soaked up, because there is not the demand either among the young professional or downsizer markets these properties cater for. As a result, prices are falling and vacancy rates are rising in these areas of new supply.

It does mean that investors hoping to buy in the market and experience the kind of lazy capital growth seen in Sydney are likely to be disappointed. You’ll need a more strategic approach than that. We’re now going to dig a little deeper and see how events have unfolded on the ground in Brisbane’s individual property markets, and what to expect in the future.

What property in Brisbane has performed well in 2016?
As predicted, the most consistent growth has occurred in detached housing in Brisbane’s inner to middle ring suburbs. Brisbane’s northside has generally performed better than the southside, with growth rates on average between 4-5% versus 2-3%. Brisbane’s inner west has also been a strong performer. Some of the standout suburbs have been:

• Nudgee: 11.0%
• Everton Park: 10.0%
• Kenmore 8.4%
• Toowong 8.4%

 

Yup. Mediocre jobs growth plus building and supply = no boom.
No WW3. Here is is above in one line.