When were the last Boom Cycles for Brisbane and Adelaide

Lots of threads and where and what to buy and what markets are moving.

However, I really cant recall when Brisbane or Adelaide had a property boom?

Anyone know? Year, timeframe

When did these markets peak?



MTR

 

Peak here was about 2011 , bust for a few years following. Growth cycle again now.

Edit - sims graph seems to agree.

 

Rolling data for both Brisbane & Adelaide..
Both look to have very similar growth trends with peaks in 2003 and 2008

 

Yes, just had a look at medians, prices did well during that period and then peaked as DT said.

So why did it boom during this period? I recall mining???? Whyalla, I was not investing in this State? but I know there was lots of talk during that period with good prospects for SA???

 

What is your definition of "boom" ? 10% across the board?

From memory for Brisbane, good periods have been 2003-2004, 2007-2008, 2013-15

 

I don't follow charts so when did Brissy peak? and what drove a boom cycle??? Trying to work out what will drive the cycles for both these markets moving forward?

Eventually they will boom, but still need triggers, low interest rates did not do it?

For those following or buying in these markets can you see signs ?

 

A boom cycle is what you are currently witnessing in the Sydney and Melb market, we are talking when properties can double within a short time frame (3-5 years)

@sash your thoughts - what will drive the Brissy market

 

That's a pretty high boom criteria. I'm more of the 20-30% gain during the same time frame of 3-5years.
I didn't think we'd seen a double in Melbourne and Sydney in this current boom?? I don't follow it as closely as you do though.

 

Yes we have seen many investors double their money in Syd and Melb market, in particular those that have held for over 3 years. I doubled my money in Sydney in 3 years, 40% in Melb but I sold out.

I think there are posts on certain areas that have doubled.

Perth also more than doubled in the boom of 2001, not in boom of 2013/14 but still at least 30%+ gains dependent on what you purchased.

 

Not sure about 2013-2015. Definitely 2003-2004.

 

Looking at 5-10 north brisbane inner suburbs from 1997 onwards, the largest annual increase in average sale value was 2002 (35-40%), 2007 (20%), 2010 (10%). The lows were 2005 (0%), 2009 (-5%), 2011/12 (-5%). These are just averages of some innerish north (within 10km). There were some localised high and lows, but these dates are good generalisations.
Edit: these are from Pricefinder

 

My ppor went up about 20% in that time, after experiencing slow to flat growth since the gfc, and that wasn't just my place. Many suburbs within 15km of the CBD experienced the same. It is why people are now wondering why they are getting +20% land tax valuations (that took a while to flow through). These aren't necessarily reflected in the general stats, but plenty have done very nicely if they bought a free-standing home around 2012 in the right suburbs in Brisbane.. this has been discussed previously.

 

The prices were coming off a very low base at that time, I believe also just before that steady rise was the introduction of the first home buyers grant. (correct me if i'm wrong).

Speaking from my own experience in the Adelaide northern suburbs , at that time (01 to 08) the car industry was absolutely booming. Holden's in the early part of the decade were working 3 shifts to try and keep up with demand and a growing waiting list for some models. I worked in a supply company and we were working 7 days and up to 12hr shifts and failing to keep up. With those hours and the generous overtime rates, there was a huge amount of disposable income floating around coupled with "full time" job security.

 

I also believe that people taking advantage of arbitrage between SA and Eastern seaboard in a certain commodity also had an impact. (probably more than most would admit.)

As quoted from ABC National: (Keep in mind this is dated 1999, right at the beginning of the hydroponic boom and the figures at the peak would be a multiple of those stated in the article.)

"In South Australia, which has the most lenient cannabis laws of any state, big and small time growing has flourished. The Bureau of Criminal Intelligence also reports South Australian cannabis is dominating interstate distribution networks."

"The only up-to-date study of the national cannabis industry estimated consumers spend $4-billion a year on it, and that was using figures that are ten years old."

"If you're talking of quantities like pounds, it's, I've heard, as low as half the price that we pay here, so I've heard of people going down for a ten pound run just for themselves, and if they can organize the money for that, say $40,000 in Sydney, get it in Adelaide for as cheap as $20,000. So just for driving there and back, well you can do the maths, it's pretty quick money."

"But such is the demand for cannabis in this country, you can make some decent pocket money, maybe buy a car, or even a country property, if you work at it hard enough. In her leafy Adelaide suburb, Jean grows enough for her own use, and to earn $3,000 on top of her student allowance. Some of her friends are far more serious, earning hundreds of thousands of dollars a year."

Full transcript:

ABC Radio National - Background Briefing: 28 November 1999 - Adelaide - 'Cannabis Capital'

 

Definitely seeing signs of moving for some pockets in Brissy. Houses with reasonable prices got cash offers, or sold at the first open with multiple offers of 30k - 50k more than asking price. But Melbourne should still do better in terms of CG in the short term.

 

which pockets are those? Its slowed down quite a bit here Bayside. Properties still getting sold but after sitting for a month or two now. Last year most were sold within a week or two.

 

Its very interesting.... investors always saying how can you tell when a market is booming and that they don't have a crystal ball.
There are so many charts and stats... don't worry about these so much.

Last night was looking at Croydon, Vic where I recently sold....... under realestate.com.....practically every house was UNDER CONTRACT.


Check it out...... can do the same for where you are looking, if you see this, its a dead give away that its a booming market. Then just need to find out how long it has been hot.

 

Mainly 4052 postcode area. Carindale has a 20% increase in land value this year. Carina, Carina Heights, Cannon Hill have all performed well. If there's any downturn, Carindale seems to be the least risky suburb out of these four.

 

Well done. How much fuel do you think Melbourne has got left for this cycle?