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Gen Y to fire up a market in flux

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Ipswich Investor, Property Management, Real Estate Ipswich, Mortgage Broker Ipswich, Ipswich property market;

AS Generation Ys grow up and become a bigger force in the residential property market during the next decade they will be one of the main groups that influence how our housing and suburbs work.Ipswich Investor, Property Management, Real Estate Ipswich, Mortgage Broker Ipswich, Ipswich property market;

By the time 2020 rolls around Baby Boomers will no longer be the dominant force in the Moreton property market, according to property consultants Urbis.

Urbis director of economics and market research Jon Rivera said it would be those currently aged 18-32 who would make up half of Brisbane’s population by then and would put the most demand on the housing market.

“In less than seven years, one of Australia’s largest population groups will be moving out of the family home and into independent living as 60 per cent of the generation Y demographic will be aged between 25 and 36 years of age,’’ he said.

“Housing demand from this group may be one of Brisbane’s biggest ever.’’

He said the shift toward the sort of housing generation Y were interested in had already started. They looked for affordability, lifestyle and accessibility, which meant many bought units.

“I think we have really been in the middle of it (the change) since probably the catalyst point was the GFC.’’

A lift in overseas migration had helped to swell the ranks of gen Y as a large majority of migrants were aged between 20 and 35.

“When we look at projections that we have been modelling, about 60 per cent of gen Y (in 2020) will be above the age of 24. Close to 30 to 35 per cent will be above the age of 30.’’

Mr Rivera said the type of property those people were looking at was focused on lifestyle.

“Generation Y is the most mobile and globally connected generation that property has ever seen and will be seeking dwellings and products of their time.

“Due to housing affordability in the areas where they really want to live, in the early years generation Y will opt to purchase an apartment or townhouse in Brisbane’s middle ring suburbs or rent an apartment in the inner city.

“They are a product of their time; they want low maintenance, walkability and trying to balance that all within the cost of living.’’

As a result Mr Rivera said houses were not going to be the preferred option for many as it was too expensive. Apartments were an easy entry point, low maintenance and in the location they were after.

As the opportunities to develop housing close to the city were becoming scarcer, Mr Rivera said it would show its true value in the future.

“We will see more infill (development) in the middle ring,’’ he said. “I think Brisbane is really well placed for this change, because we have got some good fundamentals.

He refers to the future demand as having a “Westfield effect’’.

“If you look at Brisbane a lot of growth areas are around Westfield shopping centres. Carindale, Mt Gravatt, Chermside, Indooroopilly. They will be good hubs.’’

Mr Rivera said those suburbs with strong transport links and services would benefit from demand.

“Brisbane will grow not just from the centre but from the outside (suburbs) in.’’

Despite the emergence of gen Y as a property buying force, Mr Rivera said Baby Boomers would still have a role to play.

Many would downsize to three-bedroom apartments in the inner city in mixed-aged environments and in locations with shops, restaurants and entertainment, or move to coastal lifestyle locations.

“Already, the December 2012 and March 2013 quarters have registered a bounce back in the number of sales for owner-occupied, three-bedroom apartments.’’

Mr Rivera said in the next three decades the different housing demands of different generation types would change Brisbane’s inner and middle ring suburbs.

“Projects such as Nundah Village, Showground Hill, Boggo Road Urban Village and East Village are examples of these urban precincts which will be behind Brisbane’s transformation.’’

 

Original article published at www.news.com.au  by Michelle Hele  The Courier Mail  17/6/2013

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These are the top 3 spots to bag a bargain in Brisbane: Ryder

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These are the top 3 spots to bag a bargain in Brisbane: Ryder

Property analyst Terry Ryder has picked three spots to invest in Brisbane. Picture: Richard Walker.Source:News Corp Australia

WANT to know where to invest in Brisbane that’s both affordable and offers the prospect of price growth? Look no further…

THERE are only three areas in Greater Brisbane that offer affordable real estate with growth potential, according to property analyst Terry Ryder.

The founder of Hotspotting.com.au has identified three precincts where there are plenty of houses well below the median Brisbane house price of around $530,000, close to transport links, shopping and jobs nodes, and with median rental yields in the 5 to 5.5 per cent range.

Here they are:

These are the top 3 spots to bag a bargain in Brisbane: Ryder

Hotspoting.com.au director Terry Ryder at his home in Queensland.Source:News Limited

1. Goodna-Redbank Plains, Ipswich

These suburbs are at the eastern fringe of the Ipswich local government area — the part closest to Brisbane, the motorway and the train line.

They are also close to the Springfield masterplanned community, which has an array of modern facilities, including university campus, hospital and commercial-retail precincts.

“There are numerous big shopping centres and major employment nodes nearby, with the recently announced $5 billion Defence vehicle contract focused on this precinct as a major new jobs creator,” Mr Ryder said.

These are the top 3 spots to bag a bargain in Brisbane: Ryder

Terry Ryder thinks parts of Ipswich would make a good property investment. Picture: Chris McCormack.Source:News Corp Australia

 These are the top 3 spots to bag a bargain in Brisbane: Ryder

Terry Ryder thinks Redbank Plains is a good place to invest in property.Source:News Limited

2. Eagleby-Beenleigh-Woodridge, Logan

Mr Ryder said these older suburbs in Logan had median house prices in the $300,000s and were clustered around the train line and the Pacific Motorway, both of which link central Brisbane to the Gold Coast.

“This is also where there is an impressive shopping offering, including major bulky goods retail, and well-established infrastructure like schools and medical facilities (as well as a surprising number of golf courses).

3. Moreton Bay

The suburbs of Beachmere, Burpengary and Upper Caboolture have experienced double-digit growth in their median house prices in the past year, according to Mr Ryder.

They are all close to major road and rail links, but aren’t as expensive as North Lakes has become.

Even in the Redcliffe Peninsula, where most of the water-focused suburbs are, the median house price is only in the $400,000s.

And the Peninsula now has rail links to central Brisbane, making it an even more appealing prospect.

These are the top 3 spots to bag a bargain in Brisbane: Ryder

The Moreton Bay Rail link has made the area more appealing to property investors, according to Terry Ryder. Picture: Tara Croser.Source:News Corp Australia

Source: www.news.com.au

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Opinion

Bernard Salt says Moreton Bay Region has exciting future ahead

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Bernard Salt says Moreton Bay Region has exciting future ahead

SOCIAL media might have blindsided Bernard Salt with the fallout from his now infamous “smashed avo” article, but numbers have never caught him by surprise.

And he’s not surprised by the trends in the Moreton Bay Region towards a positive economic and social evolution.

The futurist launched the 2018 Moreton Bay Region Business Conference Series at Dolphin Stadium in an optimistic keynote address about our “growing, diverse and aspirational” region.

“Moreton Bay has become a substantial economic force in its own right, with a Gross Regional Product of $17.3 billion,” Bernard told the audience.

“We’ve seen a number of big picture, gutsy projects undertaken to change this region’s future and fortunes – particularly the university precinct and delivery of the Moreton Bay Rail Link (Redcliffe Peninsula Line). These lay the foundations for future prosperity – the university in particular is an essential gamechanger for your economy.

“Moreton Bay must remain flexible to future-proof local job opportunities; contrary to the national trend there has been only modest job growth here in the professional services sector, but I expect the opening of the university in Petrie to correct this.

“Migration and knowledge work underpin job opportunities in Moreton Bay, so expect population growth and multiculturalism to continue to intensify across the region over the next 10-15 years.”

But his rosy forecasts came with a blunt warning about the need to address congestion and housing affordability now.

“Moreton Bay will be home to hundreds of thousands more people in the decades ahead, so you will need more affordable housing and it will need to be a competitive product,” he said. “That means providing access to a diverse range of lifestyle options from high-rise to low-rise housing, McMansions and townhouses.”

Former Australian Prime Minister Julia Gillard is the guest speaker at the next Moreton Bay Region Business Conference Series event on May 25 at the Eatons Hill Hotel. For more information or to buy tickets, visit businessmoretonbayregion.com.au

MORETON BAY BY NUMBERS

Gross Regional Product: $17.3 billion

Current Population: 438,000

Population by 2050: 700,000

Workforce: 118,800

Biggest jobs growth: Strathpine, Brendale, Caboolture, Mango Hill and North Lakes

Number of businesses: 25,000, which is the sixth highest for a local government area in Australia

■ The fastest-growing age group during the next 10 years will be 35-39

■ North Lakes is Queensland’s fastest-growing area (2016 ABS census)

■ Top five nationalities are United Kingdom, New Zealand, China, India and Philippines

Source: www.couriermail.com.au

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Property tax hikes will hit economy hard

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Property tax hikes will hit economy hard

The state government’s planned property tax increases risk wiping the state off the global investment map, warns Chris Mountford,
executive director of Property Council Queensland.Kevin Farmer

THE state government’s planned property tax increases, due to come into effect on July 1, risk wiping the state off the global investment map.
As the government begins work on the State Budget, the Property Council is ramping up efforts to highlight the hidden effects of the tax hikes.

These tax hikes will increase the cost of doing business, damage Queensland’s economic competitiveness and impact on every Queenslander.

With Queensland preparing to leverage the Commonwealth Games to attract new investment opportunities, these tax increases couldn’t come at a worse time.

Election campaign costings, released in the days prior to the November 2017 state election, revealed the government’s intention to introduce new land tax thresholds for aggregated land holdings with an unimproved value above $10 million.

Individuals, companies and trusts who are within this new threshold will be subjected to a 25% increase in the rate of land tax from July 1.

The government has also committed to increasing the stamp duty surcharge on foreign buyers of residential property from 3% to 7%.

The end result of this decision will be higher business rents, higher costs for new homes and damage to Queensland’s reputation as an investment destination.

Businesses who lease premises from larger landlords can expect additional rental and occupancy costs.

New homebuyers can expect an additional $800-$1000 added to the cost of purchasing a new home.

We once were able to lure investment from interstate and overseas with attractive tax rates, but we now find ourselves uncompetitive with our southern neighbours.

The Property Council is calling for the government to abandon the tax increases and commit to review and modernise Queensland’s property tax framework.

Our current land tax thresholds haven’t been changed in a decade, leading to significant bracket creep as property values have increased dramatically.

We need a simpler, fairer and more attractive property tax system to unlock investment and create jobs.

An all-encompassing review of Queensland’s outdated thresholds and property tax rates needs to be undertaken to put Queensland back on the investment map.

Chris Mountford is executive director of Property Council Queensland.

Source: brisbaneinvestor.com.au

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