QLD Where would you buy in QLD?

I agree that for the next few years there will be no growth in Syd/Melb, there are too many factors pushing prices down and as you mentioned they just came off a boom recently.

However I do still think the long term outlook is very positive, mainly because a lot of higher income jobs are both in Melbourne/Sydney (with Sydney taking the cake here). Wages growth is discussed a lot however keep in mind that interest rates have fallen making debt "cheaper", and when adjusted for interest house prices are actually about the level they should be at.



Infrastructure investment and population growth are also factors, Melbourne population by 2050 is estimated at around 8 Million (not VIC, just Melbourne) and this would be Australias largest city followed by Sydney. Google "Melbourne Plan 2050"

You also have to keep in mind what are the underlying growth factors above the ones mentioned and that is that Melbourne and Sydney are landlocked, all of the established areas have no further space to grow and hence will always demand a higher price, subdivision will be the only way forward creating growth in the near term, with demand creating growth in the long term.

I am not saying QLD is a bad place to invest, not at all, I just think over the long term Melb/Syd will provide better returns.

 

I have Melbourne property but why hold it for the next few years when it could possibly drop on this time? I’m tempted to sell one Melbourne property and buy 2 in Brisbane and see how the market goes for 3 years. It’s a bit stupid I get 420 a week rent in Melbourne on a 750k house.

 

Love that you brought up the geographical point. Lots of people talk of the land lock of Syd and Mel but fail to grasp the size of Brisbane and Moreton Bay area.

From the western edge of the Gap to the bay is 23km
The western edge of Samford Valley from Mt Nebo/Glorious (now we’re proper rural) to the bay is 30km
Brisbane (incl Logan) goes 40km south when it hits the Gold Coast growth corridors and can go 20km west and hits Ipswich.


Sydney language western edge of Penrith to the coast is 60km

Melbournites Mt Dandenong to the bay is 35km
W of Bachus March to the bay is 50km

Throwing the crystal ball out there long term who’s land locked? I know I’m cherry picking but from a geographical stand point Brisbane will hit its limits and have a smaller metropolitan area.

 

If you wish to become a successful property investor than you need to be able to answer for yourself two questions:
1. What do you wish to achieve from your property investing? Be specific in $ terms, say you wish to generate $50K gross rent say in 30 years time (example)? This should then dictate and permit you to form a plan what asset base of property value you need to build to.
2. What property investing strategy will you adopt? Will you buy houses in BRI, up to $500K with reno potential to add value, or townhouses/units in SYD or MEL. How many states you plan to buy in and what and when? This is critical if you wish to own more than 2 IPs as 90% of property investors own 1 or 2 IPs only.
So you adopt a business view in running your investments, and you set goals and milestones, and then only can you really decide what to buy. Many just start up buying without having a true plan, like a blueprint for building your house, make a blue print for your IP investing...!
Best of luck....but remember to continue to keep learning...that's the key...attend many webinars or seminars...read books...and figure out the answers to those two questions above.

 

Last 30 years average proved to be you are wrong. Three capital cities showed around 10% per annum, Brisbane was slightly under main 2. If the history repeat, Brisbane didn’t grow much since 2010- that means last 10 yrs. Now you got a ball to make a decision. If Brissie is keep up its historic gain then it is a hot spot.

 

I don't agree with this generalisation

 

Incase this is useful for any Sydney-siders. Please see the map of Sydney over the top of Brisbane. I’ve added place names to orientate. Also note the black line is the Western edge of Brisbane which is the Mt Cootha/Enogger Resovoir/Samford National Park. Also useful to note from a scarcity perspective that within the Sydney map is of course a lot more waterways, critically of course in addition to the bay Parramatta and Georges rivers.

 

Logan is pretty well located then using the Sydney map

 

I would actually argue for CG that it’s not well located in the sense that there is a lot of space for infil housing closer to the city. As you can see its outside of Cronulla but without the beaches.