Best of Wishes this New Year’s Eve from LJ Gilland Real Estate – The State of the Nation 2014/15
Australian Real Estate Market.
The Australian real estate market has bounced back strongly since it bottomed after the global financial crisis and new information revealing the best performing regions.
According to Core Logic/RP Data figures Sydney house values led the recovery with values up by 24.6 per cent since its low in December 2012 while the cities unit market was also the strongest with figures up by 21.1 per cent.
In Victoria, Melbourne was the region to record the best bounce back with its house values up by 14.7 per cent since December 2012 and units up by 11.8 per cent since April 2013.
In Queensland, Brisbane house values rose 11 per cent since its previous trough in December 2012 while unit values increased 7.7 per cent.
Perth houses prices grew by 19.8 per cent since their low in December 2012 while units were up by 18.9 per cent since January 2013.
Adelaide house values came back by 8.2 per cent since April 2012 and units 10.1 per cent from November 2012.
In the greater Hobart region houses rose by 9.2 per cent since May 2013 and units 4.3 per cent since July 2013.
Darwin house values were up 9.8 per cent since May 2013 and units rose 15.1 per cent since December 2012.
Core Logic/RP Data research director Tim Lawless said that nationally the market had rebounded quite substantially.
“It is largely skewed by the very strong performance of the markets across Sydney and Melbourne,’’ he said.
Mr Lawless said the latest figures showed that all cities apart from Hobart had recovered to levels they were at before they bottomed out after 2009 following the GFC.
“It has been a very broad based recovery,’’ he said.
“Sydney and Melbourne have been the market leaders and are driving that recovery.
Melbourne's property market is finishing the year on a high after a year that saw some records tumble.
Monthly auction listing records were toppled in August, October, November and December.
Melbourne's real estate market also experienced a landmark event on October 25, when more than 1500 homes were put under the hammer.
This was the most auctions held on a single day since Melbourne's first public auction of Crown land in 1837.
Gold Coast Shows Strong Recovery.
According to Core Logic RP Data, new figures reveal the Gold Coast has seen the best recovery in Queensland in its housing sector, and industry experts expect he momentum to continue.
In December 2012, the previous lowest point in the cycle, the median value for houses was $460,700 and units $314,197.
As of August this year that value had increased by 13.1 per cent to $520,832 for houses and 10.4 per cent to $346,942 for units.
That compares favourably to other markets including Brisbane where the increase was 11 per cent for houses and the Sunshine Coast where it was 12.3 per cent.
Core Logic RP Data’s head of research Tim Lawless said it appeared lifestyle markets like the Gold Coast were back in favour with buyers as they perceived them to offer good value currently.
Villa World chief executive Craig Treasure said the Gold Coast was in the early stages of the property cycle with the market rebuilding over the past two years and growth coming off a low base.
Mr Treasure said he was seeing strong demand return to the market after years of lacklustre growth driven by increasing consumer confidence and low interest rates.
A positive sign for the market was the return of first-home buyers, which made up 20 to 25 per cent of Villa World’s customers Mr Treasure added.
He expected the momentum to continue over the next two years but at a "slow, steady rate".
"I think we'll see sensible, subdued growth" he said.
Investors Look to the North.
Investors who may be tiring of the booming Sydney and upbeat Melbourne markets are increasingly turning to Brisbane, where prices are cheaper and rental yields stronger.
Brisbane has been relatively flat for the past four years, and it has been reported that investors are starting to see that Brisbane is likely to see an upward level of activity.
Auction numbers are reported to have reached an all-time record in the last weekend of November.
Features of the Brisbane market that are attractive to investors is that the median rental yield for houses in Brisbane is currently 5 per cent, compared with 4.1 per cent in Sydney and 4.2 per cent in Melbourne.
Also, Brisbane's median house price is just over half of Sydney's while Melbourne's median house price is also well above Brisbane's.
The rental yield for units is also stronger in Brisbane, at 5.17 per cent, beating the 4.52 per cent in Sydney and 4.55 per cent in Melbourne.
The rate of growth in property values in south east Queensland is tipped to out-do the growth Sydney has already had, within the next three to five years.
First Home Buyers May Wait Longer.
New research has revealed on average it now takes first time buyers 4.1 years to save a 20 per cent deposit for a house, up from 3.9 years in 2013.
The annual Bankwest First Time Buyer Deposit report found that with the median value for houses increasing by 7.1 per to cent nationally in the past 12 months the deposit needed to obtain a loan to buy a home had increased by more than $6000.
In 2013, based on the median house price, the deposit was $87,600 but it has now increased to $93,800 so buying a home seems even further out of reach for many first home buyers.
First home buyers in New South Wales took longer to save a deposit than any other state. The report found it took them on average 4.8 years to save $112,700 for a deposit based on the median value.
In Victoria it took 4.4 years, Northern Territory 4.1 years, and the ACT 4 years while in South Australia it took 3.3 years, Queensland 3.8 years and in Western Australia 3.7 years.
Tasmanian first home buyers had to save for the shortest period of time — 2.7 years.
Bit More on BRISBANE:_
Parts of regional Queensland face significant challenges as the mining construction boom fades and following the crash in coal prices.
Unemployment has clearly been rising in regional Queensland, but to date Brisbane’s economy appears to be holding up relatively well.
Owner-occupier demand for housing finance has been rising solidly and investor demand has continued to increase to its highest level since 2007 after a significant dip in the intervening time.
Population growth in Queensland is notably slowing as interstate migration to the sunshine state tails back from very high levels.
While apartment completions have not yet been anything too remarkable (see below chart), the number of commencements and approvals have picked up sharply in Greater Brisbane.
Unit approvals now seem to be receding again which is good news for the Queensland capital.
Vacancy rates are a little elevated in certain parts and suburbs of Brisbane, so investors need to tread carefully and asset selection will be key.
But the housing finance data suggests that for Brisbane we can expect to see a solid year or three ahead, beginning with robust capital growth in 2015.
Brisbane 2015 forecast: +5 to +8 percent
You cannot discover new oceans unless you have the courage to lose sight of the shore. [Andre Gide]
LJ Gilland Real Estate have been member agents of the Real Estate Institute of Queensland since 1996 and are holders of all appropriate Real Estate Licenses. On all matter relating to Property Management advice, it's our dedication, experience and professionalism that counts.
LJ Gilland Real Estate was formed in 1996. The company is an independently owned family business based in Brisbane. Whilst the company functions in all sections of the market, LJ Gilland Real Estate has developed a specialty in the prestige investment market. L J Gilland Real Estate is a prestigious boutique agency specializing in Property Investment Management Services and the Sales of Investment Properties with Tenants in place. Comprised of a top performing group of handpicked specialists, our Agents proudly serve Property Investors in Queensland. Since 1996 our Agency has demonstrated a genuine enjoyment of working with people, developing long-term relationships and delivering on the promise of great service. We offer property investor's the confidence to sell and lease in any market.
We provide comprehensive market appraisals, exclusive multimedia marketing campaigns, and knowledgeable, highly personalized counsel on all aspects of real estate. Our Property Management Team is equally considerate, offering investors with in-depth advise, well-researched rental appraisals, and highly professional rental management services.
Choose LJ Gilland Real Estate to Manage and or Sell your Tenanted property. If your property is managed by another Agent, transfer to LJ Gilland Real Estate and we will remove the hassle from sales and rentals aiming at the best result possible in any challenging real estate market.
We look forward to a win win relationship. Please LIKE our facebook Page & Join us on Google+ @LJ Gilland Real Estate Pty Ltd
https://www.facebook.com/ljgrealestate
Best Regards
Linda & Carlos Debello
“Your Local Property Management Specialist”
LJ Gilland Real Estate Pty Ltd (http://www.ljgrealestate.com.au)
PO BOX 19
ZILLMERE 4034
(07) 3263 6085
0400 833 800 (Mob 1)
0413 560 808 (Mob 2)
0409 995 578 (Linda)
http://www.ljgrealestate.com.au/index.php?lan=ch
Confidential email:- The information in this message is intended for the recipient name on this email. If you are not the recipient please do not read, copy distribute or act upon the message as the information it contains may be privileged. If you have received this message in error, please notify the writer by return email. Thank you very much for your assistance in this matter and your co-operation
Australian Real Estate Market.
The Australian real estate market has bounced back strongly since it bottomed after the global financial crisis and new information revealing the best performing regions.
According to Core Logic/RP Data figures Sydney house values led the recovery with values up by 24.6 per cent since its low in December 2012 while the cities unit market was also the strongest with figures up by 21.1 per cent.
In Victoria, Melbourne was the region to record the best bounce back with its house values up by 14.7 per cent since December 2012 and units up by 11.8 per cent since April 2013.
In Queensland, Brisbane house values rose 11 per cent since its previous trough in December 2012 while unit values increased 7.7 per cent.
Perth houses prices grew by 19.8 per cent since their low in December 2012 while units were up by 18.9 per cent since January 2013.
Adelaide house values came back by 8.2 per cent since April 2012 and units 10.1 per cent from November 2012.
In the greater Hobart region houses rose by 9.2 per cent since May 2013 and units 4.3 per cent since July 2013.
Darwin house values were up 9.8 per cent since May 2013 and units rose 15.1 per cent since December 2012.
Core Logic/RP Data research director Tim Lawless said that nationally the market had rebounded quite substantially.
“It is largely skewed by the very strong performance of the markets across Sydney and Melbourne,’’ he said.
Mr Lawless said the latest figures showed that all cities apart from Hobart had recovered to levels they were at before they bottomed out after 2009 following the GFC.
“It has been a very broad based recovery,’’ he said.
“Sydney and Melbourne have been the market leaders and are driving that recovery.
Melbourne's property market is finishing the year on a high after a year that saw some records tumble.
Monthly auction listing records were toppled in August, October, November and December.
Melbourne's real estate market also experienced a landmark event on October 25, when more than 1500 homes were put under the hammer.
This was the most auctions held on a single day since Melbourne's first public auction of Crown land in 1837.
Gold Coast Shows Strong Recovery.
According to Core Logic RP Data, new figures reveal the Gold Coast has seen the best recovery in Queensland in its housing sector, and industry experts expect he momentum to continue.
In December 2012, the previous lowest point in the cycle, the median value for houses was $460,700 and units $314,197.
As of August this year that value had increased by 13.1 per cent to $520,832 for houses and 10.4 per cent to $346,942 for units.
That compares favourably to other markets including Brisbane where the increase was 11 per cent for houses and the Sunshine Coast where it was 12.3 per cent.
Core Logic RP Data’s head of research Tim Lawless said it appeared lifestyle markets like the Gold Coast were back in favour with buyers as they perceived them to offer good value currently.
Villa World chief executive Craig Treasure said the Gold Coast was in the early stages of the property cycle with the market rebuilding over the past two years and growth coming off a low base.
Mr Treasure said he was seeing strong demand return to the market after years of lacklustre growth driven by increasing consumer confidence and low interest rates.
A positive sign for the market was the return of first-home buyers, which made up 20 to 25 per cent of Villa World’s customers Mr Treasure added.
He expected the momentum to continue over the next two years but at a "slow, steady rate".
"I think we'll see sensible, subdued growth" he said.
Investors Look to the North.
Investors who may be tiring of the booming Sydney and upbeat Melbourne markets are increasingly turning to Brisbane, where prices are cheaper and rental yields stronger.
Brisbane has been relatively flat for the past four years, and it has been reported that investors are starting to see that Brisbane is likely to see an upward level of activity.
Auction numbers are reported to have reached an all-time record in the last weekend of November.
Features of the Brisbane market that are attractive to investors is that the median rental yield for houses in Brisbane is currently 5 per cent, compared with 4.1 per cent in Sydney and 4.2 per cent in Melbourne.
Also, Brisbane's median house price is just over half of Sydney's while Melbourne's median house price is also well above Brisbane's.
The rental yield for units is also stronger in Brisbane, at 5.17 per cent, beating the 4.52 per cent in Sydney and 4.55 per cent in Melbourne.
The rate of growth in property values in south east Queensland is tipped to out-do the growth Sydney has already had, within the next three to five years.
First Home Buyers May Wait Longer.
New research has revealed on average it now takes first time buyers 4.1 years to save a 20 per cent deposit for a house, up from 3.9 years in 2013.
The annual Bankwest First Time Buyer Deposit report found that with the median value for houses increasing by 7.1 per to cent nationally in the past 12 months the deposit needed to obtain a loan to buy a home had increased by more than $6000.
In 2013, based on the median house price, the deposit was $87,600 but it has now increased to $93,800 so buying a home seems even further out of reach for many first home buyers.
First home buyers in New South Wales took longer to save a deposit than any other state. The report found it took them on average 4.8 years to save $112,700 for a deposit based on the median value.
In Victoria it took 4.4 years, Northern Territory 4.1 years, and the ACT 4 years while in South Australia it took 3.3 years, Queensland 3.8 years and in Western Australia 3.7 years.
Tasmanian first home buyers had to save for the shortest period of time — 2.7 years.
Bit More on BRISBANE:_
Parts of regional Queensland face significant challenges as the mining construction boom fades and following the crash in coal prices.
Unemployment has clearly been rising in regional Queensland, but to date Brisbane’s economy appears to be holding up relatively well.
Owner-occupier demand for housing finance has been rising solidly and investor demand has continued to increase to its highest level since 2007 after a significant dip in the intervening time.
Population growth in Queensland is notably slowing as interstate migration to the sunshine state tails back from very high levels.
While apartment completions have not yet been anything too remarkable (see below chart), the number of commencements and approvals have picked up sharply in Greater Brisbane.
Unit approvals now seem to be receding again which is good news for the Queensland capital.
Vacancy rates are a little elevated in certain parts and suburbs of Brisbane, so investors need to tread carefully and asset selection will be key.
But the housing finance data suggests that for Brisbane we can expect to see a solid year or three ahead, beginning with robust capital growth in 2015.
Brisbane 2015 forecast: +5 to +8 percent
You cannot discover new oceans unless you have the courage to lose sight of the shore. [Andre Gide]
LJ Gilland Real Estate have been member agents of the Real Estate Institute of Queensland since 1996 and are holders of all appropriate Real Estate Licenses. On all matter relating to Property Management advice, it's our dedication, experience and professionalism that counts.
LJ Gilland Real Estate was formed in 1996. The company is an independently owned family business based in Brisbane. Whilst the company functions in all sections of the market, LJ Gilland Real Estate has developed a specialty in the prestige investment market. L J Gilland Real Estate is a prestigious boutique agency specializing in Property Investment Management Services and the Sales of Investment Properties with Tenants in place. Comprised of a top performing group of handpicked specialists, our Agents proudly serve Property Investors in Queensland. Since 1996 our Agency has demonstrated a genuine enjoyment of working with people, developing long-term relationships and delivering on the promise of great service. We offer property investor's the confidence to sell and lease in any market.
We provide comprehensive market appraisals, exclusive multimedia marketing campaigns, and knowledgeable, highly personalized counsel on all aspects of real estate. Our Property Management Team is equally considerate, offering investors with in-depth advise, well-researched rental appraisals, and highly professional rental management services.
Choose LJ Gilland Real Estate to Manage and or Sell your Tenanted property. If your property is managed by another Agent, transfer to LJ Gilland Real Estate and we will remove the hassle from sales and rentals aiming at the best result possible in any challenging real estate market.
We look forward to a win win relationship. Please LIKE our facebook Page & Join us on Google+ @LJ Gilland Real Estate Pty Ltd
https://www.facebook.com/ljgrealestate
Best Regards
Linda & Carlos Debello
“Your Local Property Management Specialist”
LJ Gilland Real Estate Pty Ltd (http://www.ljgrealestate.com.au)
PO BOX 19
ZILLMERE 4034
(07) 3263 6085
0400 833 800 (Mob 1)
0413 560 808 (Mob 2)
0409 995 578 (Linda)
http://www.ljgrealestate.com.au/index.php?lan=ch
Confidential email:- The information in this message is intended for the recipient name on this email. If you are not the recipient please do not read, copy distribute or act upon the message as the information it contains may be privileged. If you have received this message in error, please notify the writer by return email. Thank you very much for your assistance in this matter and your co-operation
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