Queensland housing confidence has hit the highest level
QUEENSLAND housing confidence has hit the highest level in the country, a Big Four bank index has found.
The October Westpac-Melbourne Institute Time to Buy Index, which tracks housing confidence based on whether consumers think it’s a good or bad time to buy, saw the state post a monthly rise of 4.6 per cent in October to 119.6. Anything over 100 showed optimists outnumbered pessimists, according to Westpac chief economist Bill Evans, with the index considered “a good predictor of economic activity”.
Brisbane firefighter Michael Brannan was among those with strong confidence in the state, having spent $600,000 on an off-the-plan investment unit in the luxury Avion Residences in Mount Gravatt.
Mr Brannan said he expected the development to be shielded from some of the major oversupply issues facing the inner-city apartment market.
“Even though there is a bit of doom and gloom about units, the ones in Mt Gravatt would do well I’m very confident,” he said. “I figure over the long term, it will even out.”
The just-launched luxury Avion Residences are comprised of twin buildings linked by a sky bridge, with a rooftop recreational oasis, panoramic views and world-class facilities.
Mr Brannan said he and partner Michelle Taylor bought the two-bedroom, two bathroom apartment because they knew the neighbourhood well.
“We live in that area so we’re confident in it as a whole. We feel like Mt Gravatt is a hub. This is an investment in the future.”
He expected tenants to come from young professionals and the student population in the area.
“This kind of project is very new for the region so we’re expecting our apartment to bring in strong yields because of the nearby universities. We love the amenities within the building – having a rooftop pool and outdoor cinema is really rare for Upper Mount Gravatt, so the views will be amazing and it will be great for entertaining too.”
Savills Residential Projects state director Peter Neale said many of those expressing interest in purchasing apartments were locals looking to downsize or upgrade from older homes.
“We’re finding that locals don’t want to leave the area but they don’t want the ongoing maintenance of an older home,” he said.
Queensland was the only major state to see confidence rise in this month’s Westpac-Melbourne Institute Time to Buy Index, with the other four big mainland states going backwards over the previous month (NSW -10.5% to 89.1 pts, Vic -4.2% to 104.9, WA -5.9% to 115.4 and SA -0.9% to 112.7).
