Saturday, February 06 2016
Recent share market volatility could see investors shifting their focus towards property which has been on an upward trajectory since 2012 and still offers yields above 5%.
So far this year share markets have declined, with Chinese shares falling 14.6%, US equities 5.2%, Eurozone shares 6.2%, Japanese shares 9.5% and the Australian market down 6.8%, according to research from AMP Capital Investors.
In our view the Brisbane market still presents good value. While all the focus has been on Sydney and Melbourne over the last few years Brisbane has been flying under the radar. The overall market has steadily edged its way up by 18.84% since 2012. Doesn't't sound that exciting but if you had bought a $400,000 property back then it would could now be worth $475,000.
The Queensland economy has been sluggish in recent times with the slow down in mining but government has finally decided to step in and provide some much needed investment. Under the Queensland Transport and Road Investment Program (QTRIP) more than $18.8 billion will be invested in the State’s overall transport infrastructure in the next four years. The investment for the 2018 Commonwealth Games is $2 billion and expected to create 30,000 jobs. The Ipswich City Centre is about to start on a $150 million redevelopment.