Christine Rudolph’s Post

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Licensed Real Estate Agent at Ray White New Farm

Brisbane Unit Growth Fastest Since 1988 1988 was a great year for Brisbane, globally celebrated when hosting World Expo 88. Expo saw the birth of Brisbane's first major urbanisation success story "Southbank", the transformation of what is today hard to believe, was once an unsightly 40 hectare industrial area. It was also a year of significance for the property market, when the population, also on the back of the 1982 Commonwealth Games, was booming and units were hot property.     In 1988 the rush for units, lead to a jump of 16 percent growth in just seven months. It's almost astonishing to think it has taken 40 years to finally see history repeat, with units, this year, back in favour with buyers as our population, once again continues to boom. After 4 decades, we have finally seen a long awaited return to unit growth, averaging a leap of 20% and in some suburbs, even higher.   For many unit owners, this has been a welcome relief after years of their asset riding nothing short of a roller coaster performance. Units saw a spike in the early 2000's in Brisbane when we were undergoing a surge in interstate migration and population. Developers were quick to jump on the unit wagon to meet the demand, while failing to foresee the great crash of the global financial crisis.   Many investors and speculators were caught out and a mass exodus from the market saw prices plummet. Developers were unexpectedly forced to offload excess stock, coupled with investors bailing and then yet another unexpected hit affecting the market, the 2011 floods.    Many owners who have held onto their asset since the early 2000's are finally seeing their return on investment double, while those who jumped in just prior to the market taking off in 2020 have experienced growth of up to 50%.    This time, buyers are no longer the early 2000 speculators jumping in on a projected continued population growth, they are highly educated on the limited supply of property and fewer forecasted developments being finalised. Ray White Chief Economist Nerida Conisbee, has repeatedly cited that we are around 55000 homes short per annum to meet the continued population demand.    It's a perfect storm for unit owners, with limited supply and high demand for a low maintenance, secure lifestyle, continuing to push prices upwards. Fortunately, there's an injection of supply expected to start in 2025, with Brisbane eyed by unit developers as continuing to be one of the most stable, and best performing markets into the next decade.   The city is set to continue to be transformed by an array of sophisticated inner city developments, which will see the continued transformation of many of the inner city's last remaining industrial sights, ready for international attention as we headtowards the 2032 Olympics.

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