Housing Market: Queensland real estate a buyers market, but is it investors paradise?

The current slump in house values and sales in the Queensland housing market have created an attractive buying signal for investors, according to some in the real estate industry.

According to Real Estate Institute of Queensland (REIQ) chairman Pamela Bennett. She says the majority of the state’s property markets are currently at, or near, the bottom of their real estate cycles, with house prices and home buyer demand subdued.

In fact some would say that home buyers are thin on the ground right now and that means more motivated buyers.

And because of that I agree that this is providing property buying opportunities not experienced for more than a decade, as sellers outnumber buyers by a wide margin.

Its a truth in investing that the best time to buy is when everybody is thinking of selling. You have more choice, better quality to choose from at lower prices and you can haggle the price down lower.
So whilst the wise would hold on longer, now is the right time to search for the right bargain to come along. Sooner or later the market will rebound, and when it does so will prices.

There was a time when a whole generation of Queenslanders believed that house prices always rose and never fell.This was never the case and property markets do wax an wane. Queensland had the luxury of coming from a low base and so the downs were scarcely noticed in the past. Also intrastate  migration was always positive for Queensland.

Home sellers expectation have been lowered over the last 12 months.Homes are sticking on the market longer than they have been, and not selling like they used to.Mortgages are harder to come by for some, especially in the non-conforming mortgage market.That means that there are more people stuck in the rental market and that means rents may rise. andThere are more renters to choose from.

Yes, Queensland’s housing market is a buyers market right now, but is it time for you to invest in a rental home?

Anyone thinking of buying an investment property right now will find it easy to find motivated buyers.  If you do decide to buy a home,  as a home buyer or an investor, make sure that you buy a quality, well positioned home that will be easy to rent or you can sell for profit when the housing market recovers and home buyers return in force.

About HomeMate:
Rick Adlam [HomeMate] has been working in the homebuilding since 1985 as a new home consultant with Iconic builder AV Jennings. He has also worked in home design consultancy with Dixon Homes, VillaWorld, Galaxy Homes, Merlin Homes, Simonds Homes, Award Homes and Orbit Homes. Rick currently consults in the development of Mr Mortgage for mortgage brokers and HomeMate for new home buyers

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

Housing: Gosford City Council to end dual occupancy housing?

Address: Gosford City Council, 49 Mann St, Gosford NSW 2250, Australia

Latitude: -33.428362

Longitude: 151.342085

Tagged: cluster housing, dual occupancy, gosford area, gosford city council, gosford council, government approval, granny flats, lep, low rise, multiple family, new south wales, property investors, rental dwellings, single parents, urban zones, young families

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

New Homes: Housing construction downturn lasts a year

I don’t buy that interest rates are too high. Interest rates are normal. The problem is that new homes cost too much because of the price of building blocks are too high.

That’s why they are unaffordable. If new homes were half the price, as some say they should be, interest rates at 15% would be affordable.

So the problem is not the cost of money. Also the costs of new homes ome building is cheap. They are only dear because people want to build bigger higher specification homes. Now that is unaffordable many don’t want to downsize their dream. But it is only unaffordable because of land prices. They are way too high.

New home building costs have not doubled in the last 10 years, but land prices have gone up 400%.

Nobody can tell me why land prices are too high, they just fall back to
supply and demand,with Australia having abundant land that could be developed.

State Governments have largely failed in their duty to provide adequate land for building, and have not developed a competitive land retail industry to market the land.

The problem is that State Governments get paid big money in Stamp duties based on land values because of it, so why should they want to fix the problem? They get paid more for not fixing the land shortage issue.

A lot of the cost of a new house price is made up of Infrastructure costs. Why should that be a cost for a new home buyer? They are already going into debt for 25 years or longer, and the taxes on the house construction and add-ons required make every new home built a bonanza for State and Federal taxes.

So whilst the RBA decision to raise rates in November pushed construction loan interest rates higher, it alone was not the main cause of the current housing construction slump.

The HIA also says that the withdrawal of the bonus First Home Owners Grant stopped the housing recovery.

But the First Home Owners Grant is the root cause of the rise of housing costs. Stimulating building and construction without adding to supply only served to increase house inflation and that means higher interest rates to cool the market. So a housing stimulus is the last thing we need.

As an example when the FHOG was launched a 640 sq metre building block was $64,000. Three months later it was $90,000. A year later it was $178,000. So what good is the $7,000 grant? It destroyed housing affordability. And that was in 2002! All it did was make people who owned their homes “feel wealthy”.

New Land developments at half of current land prices will revive the housing industry. When the HIA and new home builders and Governments get that through their heads we will be able to move forward.

The cost of new homes have become too high and when credit was easy, home buyers simply went into higher debt. That is now playing out as home loan arrears are on the rise in conforming and non conforming lending, and full doc loans as well as low doc loans. In other words people have got themselves into financial hot water because interest rates were too low for too long. If we make them higher still, then home will become cheaper and so will land to build on.

The first home owners grant and easy credit made it easier for people with no savings to buy a home. This alone created demand that forced up prices.

So the First Home Owners Grant that was supposed to compensate first home buyers for the GST home construction price increase never did the job it was supposed to do. It actually compounded the GST and make homes unaffordable for many Australian families which will now be doomed to rent for life.

Low cost land banks developed so that new homes prices can become affordable. How do I rate affordability? 35% of the average wage should be the price that a first home buyers can buy their first home for. That is what it was in the sixties and early seventies. Right now house prices are double that, and that is too much for new home buyers.

About HomeMate:
Rick Adlam [HomeMate] has been working in the homebuilding since 1985 as a new home consultant with Iconic builder AV Jennings. He has also worked in home design consultancy with Dixon Homes, VillaWorld, Galaxy Homes, Merlin Homes, Simonds Homes, Award Homes and Orbit Homes. Rick currently consults in the development of Mr Mortgage for mortgage brokers and HomeMate for new home buyers

This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.

Housing Market: Queensland real estate a buyers market, but is it investors paradise?

" href="http://homemate.com.au/wp-content/uploads/2011/06/houses-for-sale-300x225.jpg" rel="lightbox"> June 18, 2011

What is the best time to buy real estate in Queensland? Some say now the best time in a decade.

The current slump in house values and sales in the Queensland housing market have created an attractive buying signal for investors, according to some in the real estate industry.

QLD property is  at the bottom of the house price cycle

According to Real Estate Institute of Queensland (REIQ) chairman Pamela Bennett. She says the majority of the state’s property markets are currently at, or near, the bottom of their real estate cycles, with house prices and home buyer demand subdued.

In fact some would say that home buyers are thin on the ground right now and that means more motivated buyers.

And because of that I agree that this is providing property buying opportunities not experienced for more than a decade, as sellers outnumber buyers by a wide margin.

The best time to buy is when everybody is selling.

Its a truth in investing that the best time to buy is when everybody is thinking of selling. You have more choice, better quality to choose from at lower prices and you can haggle the price down lower.
So whilst the wise would hold on longer, now is the right time to search for the right bargain to come along. Sooner or later the market will rebound, and when it does so will prices.

There was a time when a whole generation of Queenslanders believed that house prices always rose and never fell.This was never the case and property markets do wax an wane. Queensland had the luxury of coming from a low base and so the downs were scarcely noticed in the past. Also intrastate  migration was always positive for Queensland.

Why is this the best time for property investors?Home sellers expectation have been lowered over the last 12 months.Homes are sticking on the market longer than they have been, and not selling like they used to.Mortgages are harder to come by for some, especially in the non-conforming mortgage market.That means that there are more people stuck in the rental market and that means rents may rise. andThere are more renters to choose from.Fortune favours the brave.

Yes, Queensland’s housing market is a buyers market right now, but is it time for you to invest in a rental home?

Anyone thinking of buying an investment property right now will find it easy to find motivated buyers.  If you do decide to buy a home,  as a home buyer or an investor, make sure that you buy a quality, well positioned home that will be easy to rent or you can sell for profit when the housing market recovers and home buyers return in force.

About HomeMate:
Rick Adlam [HomeMate] has been working in the homebuilding since 1985 as a new home consultant with Iconic builder AV Jennings. He has also worked in home design consultancy with Dixon Homes, VillaWorld, Galaxy Homes, Merlin Homes, Simonds Homes, Award Homes and Orbit Homes. Rick currently consults in the development of Mr Mortgage for mortgage brokers and HomeMate for new home buyers
Website:http://homemate.com.auSearch terms for this article:brisbane real estate market 2011queensland real estate marketqueensland housing market 2011how is the residential real estate market in queenslandqueensland real estate market 2011queensland property market 2011housing market queenslandreal estate market brisbane 2011real estate market in queenslandproperty market queensland 2011 « New Homes Design: 9 Star rated Villa house built on project home budget New Homes: Housing construction downturn lasts a year » Subscribe Contribute Search

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TopicsBanksBuild A HouseBuilding MaterialsBuying a HomeclimateDisplay HomesHome LoansHouse Land PackagesHousingLandMortgage Exit FeesNew Home BuyersNew Home DesignNew Home FinanceRBAUK Home BuyerUS Home LoansWhere we buildOverview Maps Journey Map Category Articles 29. Jun, 2011

House or Apartment: Which is better for your lifestyle & mortgage? 09. Jun, 2011

Housing affordability: Is Australia’s housing affordability “in crisis” 22. May, 2011

Land values grab: Home owners see “land valuations” surge as home prices fall 03. Apr, 2011

Home building at crisis point in QLD: Why I feel like the one eyed man in the land of the blind Popular Latest Comments Tags HomeMate. Your Home Your way!February 14, 2011100 more Qld Homes required plus $123 million allocated for property resumptionNovember 19, 2008Mortgage interest rate cuts and first home owners grant increases build home salesNovember 29, 2008Homes are still selling despite Brisbane house prices heading south.February 14, 2011 House or Apartment: Which is better for your lifestyle & mortgage?June 29, 2011Housing: Gosford City Council to end dual occupancy housing?June 25, 2011New Homes: Housing construction downturn lasts a yearJune 18, 2011June 18, 2011 ANZbrisbaneBuilding A HomeCapital Citiesdeveloperfirst home buyerFirst Home Buyersfirst home owners grantGold Coasthome builderhome buildershome buyersHome Loanshome valueshouse buildersHouse PriceHouse pricesHousingHousing Affordabilityhousing industryHousing Industry Associationhousing marketHousing Shortageland developersMedian House PricesMortgage Interest RatesMortgage LoansMortgage PaymentsMortgage RatesMr MortgageNabnew home buildersNew Home BuyersNew Home Constructionnew homesnew home salesproperty investorsProperty valuesQueenslandqueensland governmentrbaReal Estate Agentsreserve bank of australiaResidential LandWestpac Search HomeMate Popular Search Termsbad builders listhomematebad builderssimonds homes adelaideav jennings home designs nsw Twitter Stream

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New Homes: Housing construction downturn lasts a year

'; var color = 'purple'; if (color == '') { color = 'blue'; } map.addOverlay(createMarker(point,root,the_link,the_title,color)); } function handleNoFlash(errorCode) { if (errorCode == FLASH_UNAVAILABLE) {alert("Error: Flash doesn't appear to be supported by your browser");return; } }initialize();});jQuery(document).ready(function(){var newHeight = jQuery('#featured-content').height();newHeight = newHeight - 5;if(newHeight > 300){jQuery('#single_map_canvas').height(newHeight);}}); New Home Construction

Address: 13 Richmond Crescent, Logan City QLD 4133, Australia

Latitude: -27.7146374

Longitude: 153.1487516

Tagged: abundant land, adequate land, building lots, Construction Industry, Construction Loan, feeling the pinch, high interest rates, home construction costs, House Price, Housing Affordability, infrastructure costs, land values, Loan Interest Rates, new home buyer, New Home Buyers, stamp duties, Stamp Duty, state governments

June 18, 2011

As new home buyers sit on the side lines waiting to see what Federal and State Governments do next about housing affordability, home builders are feeling the pinch as the construction industry slump reaches it first birthday.

I don’t buy that interest rates are too high. Interest rates are normal. The problem is that new homes cost too much because of the price of building blocks are too high.

That’s why they are unaffordable. If new homes were half the price, as some say they should be, interest rates at 15% would be affordable.

New Homes Construction costs are cheap

So the problem is not the cost of money. Also the costs of new homes ome building is cheap. They are only dear because people want to build bigger higher specification homes. Now that is unaffordable many don’t want to downsize their dream. But it is only unaffordable because of land prices. They are way too high.

Why I say home building lots are too expensive

New home building costs have not doubled in the last 10 years, but land prices have gone up 400%.

Nobody can tell me why land prices are too high, they just fall back to
supply and demand,with Australia having abundant land that could be developed.

Why are land costs too high?

State Governments have largely failed in their duty to provide adequate land for building, and have not developed a competitive land retail industry to market the land.

The problem is that State Governments get paid big money in Stamp duties based on land values because of it, so why should they want to fix the problem? They get paid more for not fixing the land shortage issue.

A lot of the cost of a new house price is made up of Infrastructure costs. Why should that be a cost for a new home buyer? They are already going into debt for 25 years or longer, and the taxes on the house construction and add-ons required make every new home built a bonanza for State and Federal taxes.

So whilst the RBA decision to raise rates in November pushed construction loan interest rates higher, it alone was not the main cause of the current housing construction slump.

Why the First Home Owners Grant was a Failed Policy

The HIA also says that the withdrawal of the bonus First Home Owners Grant stopped the housing recovery.

But the First Home Owners Grant is the root cause of the rise of housing costs. Stimulating building and construction without adding to supply only served to increase house inflation and that means higher interest rates to cool the market. So a housing stimulus is the last thing we need.

As an example when the FHOG was launched a 640 sq metre building block was $64,000. Three months later it was $90,000. A year later it was $178,000. So what good is the $7,000 grant? It destroyed housing affordability. And that was in 2002! All it did was make people who owned their homes “feel wealthy”.

New Land developments at half of current land prices will revive the housing industry. When the HIA and new home builders and Governments get that through their heads we will be able to move forward.

The cost of new homes have become too high and when credit was easy, home buyers simply went into higher debt. That is now playing out as home loan arrears are on the rise in conforming and non conforming lending, and full doc loans as well as low doc loans. In other words people have got themselves into financial hot water because interest rates were too low for too long. If we make them higher still, then home will become cheaper and so will land to build on.

Why the First home owners grant was monumental a failure.

The first home owners grant and easy credit made it easier for people with no savings to buy a home. This alone created demand that forced up prices.

So the First Home Owners Grant that was supposed to compensate first home buyers for the GST home construction price increase never did the job it was supposed to do. It actually compounded the GST and make homes unaffordable for many Australian families which will now be doomed to rent for life.

Low land costs are now required

Low cost land banks developed so that new homes prices can become affordable. How do I rate affordability? 35% of the average wage should be the price that a first home buyers can buy their first home for. That is what it was in the sixties and early seventies. Right now house prices are double that, and that is too much for new home buyers.

About HomeMate:
Rick Adlam [HomeMate] has been working in the homebuilding since 1985 as a new home consultant with Iconic builder AV Jennings. He has also worked in home design consultancy with Dixon Homes, VillaWorld, Galaxy Homes, Merlin Homes, Simonds Homes, Award Homes and Orbit Homes. Rick currently consults in the development of Mr Mortgage for mortgage brokers and HomeMate for new home buyers
Website:http://homemate.com.auSearch terms for this article:new construction downturntypical new home construction costsconstruction price of new homesNEW HOUSES FOR CHEAP PRICEnew homes to build costhouse build costs materialsdownturn building industry 2011cost increase build house 10 yearsbuilding market downturn 2011building construction rates annually in Australia « Housing Market: Queensland real estate a buyers market, but is it investors paradise? Housing: Gosford City Council to end dual occupancy housing? » Subscribe Contribute Search

Subscribe to the RSS Feed

Subscribe via E-mail

Developers: Add your land developments here!

Private Resellers: List your private land sale here

Ask us about how we can Promote Your Land as a House and Land Package for easy resale!

Promote Your Land for Sale on HomeMate Free

TopicsBanksBuild A HouseBuilding MaterialsBuying a HomeclimateDisplay HomesHome LoansHouse Land PackagesHousingLandMortgage Exit FeesNew Home BuyersNew Home DesignNew Home FinanceRBAUK Home BuyerUS Home LoansWhere we buildOverview Maps Journey Map Category Articles 29. Jun, 2011

House or Apartment: Which is better for your lifestyle & mortgage? 09. Jun, 2011

Housing affordability: Is Australia’s housing affordability “in crisis” 22. May, 2011

Land values grab: Home owners see “land valuations” surge as home prices fall 03. Apr, 2011

Home building at crisis point in QLD: Why I feel like the one eyed man in the land of the blind Popular Latest Comments Tags HomeMate. Your Home Your way!February 14, 2011100 more Qld Homes required plus $123 million allocated for property resumptionNovember 19, 2008Mortgage interest rate cuts and first home owners grant increases build home salesNovember 29, 2008Homes are still selling despite Brisbane house prices heading south.February 14, 2011 House or Apartment: Which is better for your lifestyle & mortgage?June 29, 2011Housing: Gosford City Council to end dual occupancy housing?June 25, 2011June 18, 2011Housing Market: Queensland real estate a buyers market, but is it investors paradise?June 18, 2011 ANZbrisbaneBuilding A HomeCapital Citiesdeveloperfirst home buyerFirst Home Buyersfirst home owners grantGold Coasthome builderhome buildershome buyersHome Loanshome valueshouse buildersHouse PriceHouse pricesHousingHousing Affordabilityhousing industryHousing Industry Associationhousing marketHousing Shortageland developersMedian House PricesMortgage Interest RatesMortgage LoansMortgage PaymentsMortgage RatesMr MortgageNabnew home buildersNew Home BuyersNew Home Constructionnew homesnew home salesproperty investorsProperty valuesQueenslandqueensland governmentrbaReal Estate Agentsreserve bank of australiaResidential LandWestpac Search HomeMate Popular Search Termsbad builders listhomematebad builderssimonds homes adelaideav jennings home designs nsw Twitter Stream

© 2011 HomeMate.com.au.

HomeMate All rights reserved.

Financed by Mr Mortgage Designed by Buyers Angels

Copy / Paste Site Search Wikipedia Google Facts Outlook Gmail Y! Mail Twitter Search & Share