Why Hasn't Brisbane BOOMED

Discussion in 'Property Market Economics' started by MTR, 28th Dec, 2016.

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  1. bob shovel

    bob shovel Well-Known Member

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    My prices are accurate it's those "short arm, deep pocket developers" that are the problem:p
     
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  2. Rolo

    Rolo Well-Known Member

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    We built in bungarribee 2013. All the Somersoft experts said we were crazy. Who's laughing now? We paid $550k for a 442. It was valued late 2015 at 880k. I bet we would crack the 1 mill now. In all seriousness tho we do feel like we won the lottery.

    Cmon Brisbane you have the blueprint just follow Sydney!
     
  3. sash

    sash Well-Known Member

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    true some areas like kallangur and dbay have been inundated. price rises in other suburbs have slowed them down. my purchases made in margate,clontarf, and strathpine for 251, 325 and 301 are now all over 400k. the last 2 were only bought in 2015 and 2016.
     
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  4. Rolo

    Rolo Well-Known Member

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    We are about to settle in strathpine
     
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  5. sash

    sash Well-Known Member

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    what was the buy in price?
     
  6. Rolo

    Rolo Well-Known Member

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    Probably a bit too much over what we should have paid but I'm happy the yield should be ok
     
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  7. bob shovel

    bob shovel Well-Known Member

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    @sash do you have a great memory? From wgat ive read I reckon you have got a good idea of quite a few people's portfolios on PC
     
  8. jprops

    jprops Well-Known Member

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    @RetireRich101 would be interesting to compare some of these brissie suburbs to some Sydney suburbs.

    Edit: Forgetting the mt druitt and logan comparision
     
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  9. RetireRich101

    RetireRich101 Well-Known Member

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    Yeah don't listen to Sydney buyer, just listen to me :p
     
  10. RetireRich101

    RetireRich101 Well-Known Member

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    wow.. 60% increase in 3 years...nice.
     
    Last edited by a moderator: 2nd Mar, 2017
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  11. RetireRich101

    RetireRich101 Well-Known Member

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    Not sure how to compare this. You kinda of drop a pin in ANY Sydney suburb, the increase in the last 2013-2016 had been 50-70%.
    We did this for at least 20 Brisbane suburbs for same period they range from 15-30%.
    This is should be comparison of a Boom versus Rising market ( some may call it yet to rise)
     
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  12. nth brisbanite

    nth brisbanite Well-Known Member

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    I'm glad that Brisbane hasn't yet boomed because I've just finished paying my land tax. It can boom just before I retire when I will sell some of my properties down, pay little or no capital gains tax and reduce my land tax.
     
  13. sash

    sash Well-Known Member

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    Some...hard to know everyone's ...I only know about the ones I have had convos with...
     
  14. wylie

    wylie Moderator Staff Member

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    I was speaking with a friend who is an agent about Camp Hill. I hold a half share in a house and we pay $6k land tax just for this one house so the rent return really suffers. To buy my brother's share would cost me maybe $390k (including $27k duty) and I'd have to hold in two trusts to avoid the same land tax issue.

    I'd have to pull funds from super to do this, and then I lose the growth there. I doubt the extra rent would compare to the loss of that much that could be growing in our super. We need the super to pay out our debt in the years to come, so it's not "gravy". Since we took early retirement, it is now part of our exit strategy and needs to be protected.

    But more to answer the thread title, this agent said Camp Hill is doing very nicely.

    This house had a value placed on it by two other agents I know of low $700s a year ago. RPData report puts it at $730k to $750k (but I don't put too much faith in that). My friend this week said he would think we could easily get $760k and possibly up to $780k if marketed well and staged.

    If those figures from a year ago and now are correct (and let's face it, nobody knows until it actually sells), then this house has risen by possibly $50k in the past year.

    He knows we are tossing up whether we sell now, or wait another year.

    He said he has sold 32 houses in the past two months, that there are lots of buyers and a shortage of houses.

    He recommended we look at it again in three months. If we don't settle before 30 June we will pay land tax again, and if we are going to pay another $6k we will pay it with gritted teeth and then hold this house for another 14 months and might sell then.

    I'm not going to lose another year's growth by selling to avoid a $6k land tax bill.

    Trade off for me is that we could pay down some (considerable) debt with my share and I have to continue to pay interest that I could ditch.

    But I think we will hold past "land tax day" this year and see how things go. I just hope we don't see the market flatten again and think "should have pulled the trigger in March 2017".
     
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  15. nth brisbanite

    nth brisbanite Well-Known Member

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    Hard decision trying to weigh up land tax vs growth vs paying down debt. Not sure what I would do here but I'd be inclined to hold on as Camp Hill is doing so well at them moment. Even a 5% annual growth is worth close to $40,000 ($20,000 to you) . A 10% growth is nearly $80,000 (40K to you).
     
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  16. MTR

    MTR Well-Known Member

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  17. RetireRich101

    RetireRich101 Well-Known Member

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    I like reading his article at start, but after a few they all seem to be fishing... especially saying there is only 10% investment grade properties as a fear tactic for the reader to contact Metropole and suggesting they are the only ones that can identify those properties.
     
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  18. MTR

    MTR Well-Known Member

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    but they are selling, no different to anyone who has a business.
    I think we are smart enough to work it out.

    I am interested in the research this group does, some of it is very good and I use it as a tool combined with other stuff which is pretty simple.

    MY has always been about buying in blue chip locations, once again I don't actually believe this is always correct, but I just take the good stuff and ignore the cr$ap, or what I perceive as cr$p.
     
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  19. Whitecat

    Whitecat Well-Known Member

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    Huge gains.
     
  20. MTR

    MTR Well-Known Member

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    Brilliant, is that $550K for land/house, nonetheless a good outcome