Wednesday, February 12 2014
While Sydney and Melbourne’s property markets may struggle to sustain their phenomenal recent growth rates, Brisbane is being tipped to benefit from its ample room for capital growth and rental yield potential.
Brisbane’s property market is showing signs of growth early this year, which is good news for buyers seeking a relatively affordable investment.
RP Data’s research director Tim Lawless suggested this week that while the “investment fundamentals” are waning in markets such as Sydney and Melbourne, investors might turn to Brisbane because it’s much earlier in the growth cycle.
The stage that a property market is at in the growth cycle is influenced by the level of supply and demand. In Brisbane’s case, increasing demand could certainly see values climb above the current median of $462,000.
Throw in the city’s solid rental yields, which are hovering round the 5% mark and notably higher than averages in both Sydney and Melbourne, and there’s plenty of reasons for optimism.