So many of the certainties of property investment and ownership are being challenged by the unknown including negative gearing, household debt, wage growth and restrictions on foreign investment. Agents need to be thinking and acting around that corner, building deep roots in the marketplace and being connected to local property decision making. We rounded up our sales agents for comment on what they were seeing at the coal face of the local market.
James Bell is the Principal of brad bell and has been selling and auctioneering local property for 18 years, through all kinds of markets. He says, “I think a lot of people have a knowing that the sun won’t shine on property as brightly as it is now forever. That being said, the sun is still shining, particularly for houses and also the land market.”
Leading Mansfield agent, Trent Ray says that “Our local market has had a lot of infrastructure investment, development and some local drivers of growth such as the education belt that tend to be protective where other markets are affected by these global or national concerns.”
“As agents, we are aware of the complex relationships between these national and local forces while we strategise appropriate ways to market property to encourage competition and maximise the price while we are still seeing strong demand,” says Ben Salm, sales agent.
Matt Walton says, “I have certainly noticed that the restrictions on foreign investment has changed the demographic of buyer that we are seeing. This time last year I would have said that maybe 70% were foreign investment purchases, or financed from overseas, and now I would say that this is reduced to around 30 or 40%”.
Aska Connell agrees, “when we are meeting buyers throughout the marketing and at the open homes we are finding that there is an increase in local investors and people wanting to move into the area based on lifestyle factors such as school catchments and I think that speaks to a strong local demand for property, notwithstanding changes to foreign investment and lending that we see as affecting other markets which might be more vulnerable”.
Leeanne Boyan is the Chief of Property Management and we look to the rental market as a strong indicator of what might lay ahead for the sales market also. According to Leeanne, “We are starting to see the return of better rental yields and some small rent increases coming in across the board for lease renewals. The premium marketing that we offer now for all rental properties including professional photos, floorplans and premiere listings has kept our days on market well below the Brisbane average in what has been a high-vacancy marketplace”.
The broader or national market trends don’t seem to be dissuading investors or lifestyle buyers from competing enthusiastically for local property and our recent results indicate that the formula of strategy, marketing and execution is working to achieve outstanding results for local property owners.
If you would like one of our agents to provide you with a comprehensive appraisal of what your property could be worth in today’s market, they would be pleased to do so on a cost and obligation free basis. Just take two minutes to tell us about your property here, and we will be in touch.