ABS figures released today show that Australia’s population reached 23,714,272 persons at the end of the March 2015 quarter, 1.4 per cent larger than 12 months previously, said the Housing Industry Association (HIA).

“Today’s figures show that nearly 316,000 people were added to Australia’s population during the 12 months to March 2015,” said HIA economist, Diwa Hopkins.

“This rate of growth, while slower than in previous quarters, is still historically strong.”

“During the 1980s, 1990s and the first half of the 2000s, Australia’s population grew very steadily, with around 225,000 persons added to the population per year throughout that period.”

“Since that time, the number of people being added to the population has exceeded 300,000 persons per year, and this continued to be the case in the year to March 2015.”

“This continued high-volume population increase underlines the importance of delivering a commensurate supply of new dwellings in an affordable way.”

In the year to March 2015, the net overseas migration inflow of 173,054 persons accounted for more than half of the total growth in Australia’s population, while natural increase accounted for the remaining 142,898 persons added to the population during this period.

Across the states and territories, population growth in the year to March 2015 was varied, with the two major population centres, Victoria and New South Wales, recording the strongest growth rates; 1.7 per cent and 1.4 per cent, respectively. Western Australia’s population also grew at 1.4 per cent, while Queensland’s population grew by 1.3 per cent, the Australian Capital Territory’s by 1.3 per cent, South Australia’s by 0.8 per cent, Tasmania’s by 0.3 per cent and the Northern Territory’s by 0.2 per cent.

Brisbane price growth while modest compared to Sydney has been growing on average at 5% a year since late 2012. This means if you had bought the right type of property in 2012 for $400,000 it is likely to have increased to $463,000 in value.

If you have done nothing over the last few years then you could say the cost of your procrastination is $21,000 a year.

In the last 6 months we have seen a number of areas increase by 8%. If that trend continued that would be 16% per annum.  

I've certainly seen my fair share of procrastinators over the last few years. In the end they become pretty easy to spot. They typically have unrealistic expectations of what they can get for their budget so nothing will ever be good enough. They ask a 101 questions, seeking answers to every possible scenario like "what happens if we are invaded by aliens?". They go in circles jumping from property to property, every time their brief is met they look for reasons not to proceed. They make decision based on personal beliefs, myths or emotions rather than facts and data. They react to every snippet of information they hear from family, friends or work colleagues and come back with a new list of questions on some newly discovered topic that generally doesn't relate to their situation.

You generally see these people spin their wheels year after year still looking for the perfect, risk free property that is well outside their budget. Or they end up buying something that is completely unsuitable and under performing. 

Contrast this to the clients I have worked with over the last few years, people who have taken action. They seek professional advice, they want to learn and they do ask questions, but only those relevant to their own situation that will allow them to make an informed decision. They have a clear plan on where they are going and want to put that plan into action without delay. They understand that creating wealth is a long term exercise and that wasting time is costing them money. They have realistic expectations of what they can achieve. They accept that investment has risk and doesn't come with guarantees, but they also know that risk can be managed. They are interested in the numbers and performance, not on myths or personal beliefs. And critically they take action.

The following article confirms what I have been saying for some time about the Brisbane market. Unless you are in the market trying to buy you would have no idea of how much prices have moved. 

If you are thinking about property I would be talking to us sooner rather than later. Contact us today
 

Brisbane Property Prices going into overdrive as investor demand surges
(Source - Australian Financial Review 2 September 2015)

Investors from near and far have shifted Brisbane property prices up a gear, as the number of suburbs gaining double-digit growth in the Queensland capital has nearly doubled over the past six months.

McDowall in the city's north (16 per cent growth in unit prices), Durack in the south (13.6 per cent growth in houses) and Murarrie in the east (where apartments have jumped 18.1 per cent over the past 12 months), have had their rate of price growth speed up sharply since the start of the first half of the year, real estate agency PRD Nationwide says.

In some cases, the turnaround is dramatic. Six months ago, units in the inner south eastern suburb of Coorparoo were falling at a rate of 6 per cent. Now they are growing at a rate of 10.7 per cent. Six months ago, only 18 of Brisbane's 195 suburbs were experiencing price growth in double-digit figures. That has increased to 35, PRD Nationwide's latest Brisbane Hotspots report shows. It was a big change for a city in which annual price growth had normally been between 3 per cent and 5 per cent, "and maybe 7 per cent if you're lucky", PRD Nationwide's national research manager Asti Mardiasmo, said. 

"Whether it's inner western, eastern, what have you, there are now suddenly all these suburbs that have double digit growth that they've never seen before," Dr Mardiasmo said. "It's kind of going nuts."The Real Estate Institute of Queensland on Wednesday said the median Brisbane house price had jumped to $610,000 in the June quarter, after hovering around the$600,000-level for some quarters.

Brisbane house-price growth has lagged behind increases seen in Sydney and Melbourne and buyers in the two large southern cities are increasingly looking northwards. Some of these are owner-occupiers, like Debbie and Larry Koeford, who sold their four-bedroom house in Rosemeadow, 50 kilometres south-west of Sydney,and bought a five-bedroom house in Moreton Bay for $250,000. But a growing number are investors. Brisbane rental yields on houses (4.4 per cent) and apartments (5.4 per cent) at the end of August were the highest of any of the five mainland capitals tracked by data provider CoreLogic.

Growth was not limited to any one pocket and was evenly spread across the Brisbane area, Dr Mardiasmo said."There are actually hotspots and high-growth suburbs in each part of Brisbane," she said. It was difficult to break down investment between local and foreign sources of capital, Dr Mardiasmo said. Brisbane estate agents have a strong selling season in January,when holidaying Sydneysiders and Melbournians come looking for property, but the city was also seeing a higher level of buyers from overseas than before, she said.

Contact us to discuss your plans.