Finding tomorrow’s hot property, TODAY

Quote of the Week

“People are seeing these very low fixed rates – often just a little over 2% – at major banks and no wonder they are attracted. In turn, the banks have the comfort of knowing what monetary policy is very likely to be for a long period of time.”

Steve Mickenbecker, group executive financial services at research agency Canstar

Regional House Prices Surge Upwards

Regional House Prices Surge UpwardsProperty prices in regional Australia are surging upwards while the median dwelling value for the combined capital cities fell in the last three months, according to the Domain House Report for the June Quarter.

Canberra and Hobart were the capital cities to record an increase in median house prices in the quarter with Canberra up 2.8% and Hobart up 0.9%, while Adelaide recorded no change.

“Regional areas typically do not provide the big swings of cities, and do provide homeowners with steady capital growth,” Domain senior research analyst Nicola Powell says.

Regional markets are less reliant on overseas and interstate migration, which had been brought to a standstill by coronavirus, she says.

Year-on-year, the biggest price changes in each state were in the LGAs of : (1) Isaac, Central Qld where prices rose 32%; (2) Leeton, NSW which recorded a 23% increase; (3) Huon Valley, Tasmania which notched up an extra 22%; and (4) Colac Otway, Victoria where an uplift of 19% was recorded.

Rents Rise As National Shortage Bites

Rents Rise As National Shortage BitesRents are rising across the nation as undersupply bites, according to research by industry expert Propertyology.

Propertyology’s head of research Simon Pressley says that 39 of Australia’s 52 largest towns and cities – 75% of the total – have an undersupply of properties. Only four out of 52 major Australian cities and towns have a residential vacancy rate of 3% or higher (as at 30 June).

Five out of the eight capital cities have shortages undersupplied though Sydney and Melbourne remain oversupplied, along with the Gold Coast (4%) and Geelong (3.5%).

Propertyology says a market with a balanced supply has a vacancy rate between 2–3%. Vacancy rates above 3% mean there are more choices for tenants, which places downward pressure on rent prices.

“The only thing currently preventing an official declaration of an Australian rental crisis is the sedation effect of the coronavirus containment measures,” Pressley says. 

He suggests the shortage has been caused by the low number mum-and-dad investors buying properties in the past year or two. 

HomeBuilder Grant Drives Land Sales

HomeBuilder Grant Drives Land SalesThe Federal Government’s new homebuyer grant has seen interest in vacant land sales increase by 60% in June, according to figures from realestate.com.au.

The increase follows the announcement of the Federal Government’s HomeBuilder scheme which provides eligible owner-occupiers (including first-home buyers) with a grant of $25,000 to build a new home or substantially renovate an existing home”.

Real estate agents reveal there has been a strong response from first-time buyers with enquiries for vacant land from this cohort increasing 180%, compared to homeowners rising by 35% and investors just 26%.

“It’s obviously going to be very positive for the construction sector,” REA Group director of economic research Cameron Kusher says.

Increased property market activity largely occurred outside New South Wales, which recorded a rise of 55%.

It is suggested the $750,000 limit is an unrealistic requirement given Sydney’s high property prices.

Build-to-rent About To Boom

Build-to-rent About To BoomThe build-to-rent sector is on the cusp of a boom as lifestyle choices change and home ownership becomes more difficult for some.

Build-to-rent (BTR) is an alternative development model where a development company holds stock in its project specifically for long-term rentals rather than sell off the individual units.  The concept has proven popular in America and the UK.

According to a CBRE report, the Australian BTR development pipeline recently passed 11,000 units with investors favouring assets delivering reliable income streams amid the coronavirus pandemic.

Over the past 12 months, 30 major BTR projects with an average size of 365 apartments totalling 11,667 were confirmed. Another 10,000 BTR units are in planning.

Offshore institutional funding accounts for 50% of the total pipeline, signalling the global attraction of the stable cash flow from BTR in a low-yield environment, CBRE’s associate director of structured transactions and advisory Puian Mollaian says.

“The sector is bound to experience some significant growth in the coming years, although we’re starting from a very low base,” he says.

More Aussies Now Live in Units

More Aussies Now Live in UnitsMore Australians are living in apartments, with one in five now residing in strata-titled properties, according to a new report from UNSW’s City Futures Research Centre.

Since being introduced in Australia in 1961, strata title property ownership has grown to almost 3 million today. In 2015 the number of new apartments overtook the number of new detached houses for the first time in Australia’s history.

“This increase reflects the population growth, especially pronounced in the larger urban areas, as well as government policies to promote urban consolidation – that is, building up, rather than out – within existing urban areas,” says Associate Professor Hazel Easthope who led the project.

Alisha Fisher, CEO, Strata Community Association Australasia, says: “The data shows just how important strata-titled living is to Australia as people place increased value on access to their places of work, shopping and entertainment precincts, and recreational amenities either within the surrounding community or the strata complex.”

breaking-news
Find out how much your home is worth in today’s market. Get an instant market update, obligation-free. Gain insight into what your property is valued at, find out its potential rental yield and more.

Brisbane, Gold Coast, Sunshine Coast, Melbourne

Not all investment property tax depreciation schedules are built the same. They should be but the reality is, like many things in the property world, all is not as it seems. The devil is in the details—and the details are everywhere. But relax, at Washington Brown we take care of every last one.

Established in 1978, Washington Brown is one of Australia’s oldest and most respected quantity surveying organisations.

Each year, we prepare more than 13,500 reports, delivering $1.5 billion in depreciation savings.

At Triple Zero Property, we believe in delivering a seamless experience tailored to your needs. From personalised consultations and thorough research to ensuring transparent fixed-price building contracts and competitive pricing, we are committed to excellence at every stage. Our dedicated team oversees every aspect of your property build, from initial planning and throughout the construction process.

Discover how our comprehensive approach and commitment to client satisfaction sets us apart in in creating wealth through property in Australia.

Established in 2005, Reventon has built on a strong foundation in property investment and progressively expanded the business over the years. Today, they offer a complete range of property and financial services that includes, financial planning, accounting, mortgage broking, buyers advocacy and property management.

Reventon is a fully-integrated holistic wealth and financial planning provider founded by serial entrepreneur, international speaker, wealth specialist and company CEO Chris Christofi.

With Reventon, clients benefit from having all their needs met through a single relationship with a dedicated, experienced and trusted team. Our seamless service offers more convenience, greater control and ultimately a better client experience with better financial outcomes.

The propertybuyer team has been in business over 23 years and purchased over 4000 properties. Propertybuyer is a totally independent “Buyers’ Agency” focused on searching, negotiating and buying property in Australia for home buyers and investors. Our goal for each client is the “right property, at the right price, every time”.

We help you:

• Create a clear strategy and realistic “buyers brief”
• Provide access to “off market listings” – properties that are not advertised
• Provide research on the best suburbs with good prospects for capital growth and yield
• Save time – Typically we find the ideal property within 30 to 60 days of engagement
• Negotiate the lowest possible price (ie protect your clients from paying too much!)
• Give accurate appraisals and excellent local knowledge, Propertybuyer is currently the most awarded Buyers’ Agency in Australia, with 37 Awards for Excellence.

We never sell property so we are truly independent – we are not paid by selling agents or developers, so we never have a conflict of interest. This means we can devote ourselves wholly to looking after your best interests.

Plenitude Wealth is a holistic wealth management firm that is dedicated to making a positive change to the financial landscape of Australia and ultimately the world through creating an educational foundation of social awareness, enterprise and social consciousness.

We are passionate about all things property! This passion is about so much more than just property investments, numbers, and spreadsheets, it is about the relationships and genuine care we build with our clients.

We are exceptionally privileged when we are asked to assist our clients to help grow their investment property portfolios or even kick start their first purchase. Unlike most Buyers Agents, we are selective about our clients and do not try and do as many sales as possible – the emphasis is always on quality over quantity!

Our goal is not only to find the ultimate solution for them but to do so in a manner that ensures continued success by choosing locations primed for capital growth and the right cash flow for our client’s goals.

Optalife Wealth works with you to build financial security by providing clarity and confidence about your future. We work with you to build your financial plan, clearly defining what your future looks like and laying out clear and understandable steps for you to achieve.

There is no one size fits all here. We design your plan like a financial roadmap, tailored to your specific situation and what living your optimal life means to you. Like anything in life, having a clear plan increases the likelihood success and having a whole team working alongside you makes reaching your dreams one step closer.

Financebetter is here to guide you through the complexities of the financial world. Our experienced team of experts, including accountants, financial advisors, and investment analysts, is dedicated to delivering exceptional service and results.

Our comprehensive solutions and personalized guidance empower you to achieve your financial goals. Partner with us and experience the Financebetter advantage on your journey to success.

Bond Conveyancing is a licensed Law Firm designed to remove the stress out of buying or selling property in a simple, secure and affordable way. Bond Conveyancing is technology enabled but always people first.

Bond Conveyancing consists of an experienced team of conveyancers and lawyers qualified and skilled in property settlements and transfers. But they are not just about the property. Bond Conveyancing is people first, always. We understand that this is a big moment in your life and our timeliness and effectiveness in communicating with you comes second only to our diligence in ensuring your property settlement goes as smoothly as possible.

Our service puts a fully licenced Buyer’s Agent and Qualified Property Investment Adviser right at your side, to ensure that your interests are being protected at all times and your next investment property purchase achieves maximum success. Leverage off our extensive experience, professional know-how, and independent research to ensure that you’re accessing the best property opportunities available Australia-wide.Buying Properties in Sydney / Melbourne / Brisbane / Adelaide we operate on a client first approach, and will never sell you any property. We are 100% fee for service, providing independent & unbiased advice from qualified advisers and Buyer’s Agents. We set the standard in providing exclusive, one-on-one, independent, trusted and expert advice, tailored individually to suit your particular needs.

Subscribe to our newsletter today and receive a FREE copy of How To Identify Hotspots