The underpinning prospects for SE Qld property owners and buyers are very solid, driven by a forecast housing shortage and continuing population growth.
Whilst the graphs nationwide on sales volumes are painting some interesting visual diagonals, the other unfolding situation is the drop in new building approvals. The construction of new housing is not keeping up with the projected demand.
This creates a situation where property investors who can withstand the interest rate rises will see some better yields if they buy well. Our feedback from buyers is that now is the time to ‘buy’ into Noosa, with interest rates starting to ease possibly next year (2009) and house prices subsequently rising again.
What does this mean for us on a local level? Our future is affected in a very positive way by what is occurring in the ‘bigger property picture’. Here in Noosa, we are not immune to progress, yet we are sheltered to an extent from the incredible pace of change to be witnessed elsewhere. A drive from here to Brisbane for anyone who has been a resident for more than 18 months reveals widespread construction activity. The Northlakes Development just South of Bribie Island is forecast to become a northside ‘metropolis’ outside of the Brisbane CBD, vast in proportion. Brisbane is currently the second fastest growing city in the world!
This kind of growth adds enormously to the value of our region, as long as we continue to preserve and treasure the elements that make it so special. There will undoubtedly be increased pressures on our environment in particular from the additional influx of both visitors and residents.
From my perspective the outlook for the property market will improve, stunning lifestyle destinations are on the top of everyone’s wish list, we are the pinnacle in my view!
To put some of the current hysteria into perspective, let’s not forget those fundamentals - property prices generally double every 7 – 10 years, this is undoubtedly the case for Location and lifestyle destinations such as ours.
Til next week
Olivier