Buying off the plan in Brisbane? Convenient?

I am definitely no expert but In my humble opinion Brisbane is one of the best cities to buy right now. The population is increasing at approx 1000 a week in SEQ. The planned infrastructure to manage the growth in population over the next 10-20 years is massive. I believe Brisbane is ready for a very healthy upward cycle over the next 5 years. I have 4 investment properties in Brisbane and over the last 10 years had a very good run averaging around 11.5% or average annual growth. I have no hesitation in thinking the next 10 years will do the same. Steve

Alex

Today oddly enough I was looking into my crystal ball as regards to timing the Brisbane market for 2011 myself.

Timing as we are standing by to commence / not commence building in January on a 5 apartment complex with an existing queenslander house being shifted across and renovated on its own block in a good location within the Brisbane inner city most with city views.

My speculative decision is to proceed with the project which will be completed and on the market around Sept 2011 as I believe if you have a property based on the basic fundamentals, eg. Good location, quality and value it will be more in demand & have greater resilience to any unfavourable pressures and inevitably outperform the market.

Assuming in your situation you are looking at the medium to longer term???  I wouldn’t be too distracted by short term “noise” in the market and rely on your depth of experience, assessment of real estate fundamentals and your specific finances.

That’s my two bob and wishing prosperity and a bit of good luck for both of us.  

Ok so you've decided Brisbane will be doing well in 12 months time.
But what of the off the plan purchase. I it good value? how does it compare to similar sized properties in the same area? If you overpay it will take years to get to market value even if prices do go up around you. Whats the expected rent? How will your cash flow be? Have you factored in more interest rate rises?

Lots of DD to do. Just hoping you've done more than just look at expected (hoping for) growth.

Valid advice from  Catalyst….  and if I can add I’m not implying that the Brisbane market will be doing well in 12 months far from it……  if at best it still be soft and flat …. just make sure you factor Catalyst advice in your off the plan decision………   Such is the speculative cycle

Might find this thread interesting as well……..

https://www.propertyinvesting.com/forums/community/opinionated/4334606

Re Brisbane, it has been suggested there a current shortage of housing supply is between 6,000 – 10,000 dwellings. 1000 people a week moving to SEQ, affordability in regards to ownership and rentals is mid range and Brisbane wages have grown at a higher rate then Melb or Sydney. Brisbane is one of the lower risk investment cities and according to a recent residex report, has passed the ‘worst’ it has to offer. Forecasts indicate there is more upside than downside and that the downside is lower than other eastern state cities. The states budget is looking like its on track to returning to surplus over the coming years with the LNG contract mid coast. From all the resources I have Brisbane looks to be good investing over the next 5 – 10 years for sure and now while a little flat, a buyers market. Time to get in.

South East Queensland

regards

Alex.

Can I ask what suburb , indicative cost etc of the property you thinking in investing in?