THERE are no signs that the property market will ease into the new year, and local agents say they can’t see things slowing down for at least another 12 months.
One shrewd investor bought a house to live in 12 months ago. They paid $735,000 and sold recently for $910,000, pocketing $175,000.
There are stories of those who’ve sold up and bought caravans, spending profits on a 12-month holiday in the hope things slow down by next Christmas.
Others in their late 50s are moving into early retirement, selling the family home and taking up residence in one of the region’s premium lifestyle villages.
Browns Plains Real Estate principal Neil Giles said some investors who bought three years ago were cashing in, effectively turning a 12-year plan into a three-year plan.
“It makes sense,” he said. “If you paid $400,000 for a property three years ago, and now you can get $600,000, that’s $200,000 into the mortgage of your own home, and $1000 a week into something else you want to spend your money on.”
Mr Giles however, issued words of caution to those expecting to ride the wave.
He said banks would have the ultimate say to determine when the current boom stops.
He said interest rates had been low for 10-12 years, but the cyclical nature of the economy says it can’t last forever.
“I hope it continues,” he said.
“The market’s the market, that’s not up to me. I’m still gobsmacked that two years ago we had a bunch of properties we couldn’t sell for $400,000. Those same properties are selling for $600,000 now.
“There are properties that have sold around the $1 million mark at Regents Park.”
He joked people might have confused Regents Park Queensland with Regents Park in Sydney, but emphasised that growth was real, and so far it was being sustained.
House agent Michael Wardlaw said he expected market activity to slow down over the Christmas period.
“We thought people might take a break, but that hasn’t happened,” he said.
“As soon as we get properties, we’re swamped with inquiries. There’s been no let up at all.”
Elders Real Estate Shailer Park principal Sharnelle James said there were now two distinct price points.
First home buyers were looking to enter the market up to $700,000, which is significantly higher than the $550,000 they were looking at 12 months ago.
People looking for a lifestyle home with four bedrooms and a pool were now expecting to spend between $800,000 and $1.2 million.
“We are very privileged that people have discovered the benefits of living half-way between Brisbane and the Gold Coast,” she said. “It’s the hidden secret
She said an oversupply of units in the city had been well documented. That meant people were looking to areas such as Shailer Park, Springwood and Cornubia for extra space on larger blocks of land.
Some of the boom and rise in prices has been attributed to the migration of people from southern states – those discovering that Queensland’s holiday lifestyle could be extended year-round.
Ms James said most houses being put onto the market were from people selling the family home. They were often in their 50s or 60s, with children who’d left home, and looking at retirement options.
Agents had mixed views about stock. Some were still struggling to find properties for sale. Others felt the retirement trend was helping buoy supply.
“We’re finding a lot of people enjoyed Christmas in their current houses and now they’re looking to sell,” Ms James said.
“It’s too early to say there won’t be problems with supply down the track, but we’ve definitely got stock right now.”
