Powered by MOMENTUM MEDIA
subscribe to our newsletter

Brisbane suburb a potential investment hotspot

Brisbane
Cameron Micallef
19 February 2020 — 1 minute read

An under-the-radar suburb in a heating Brisbane market has been predicted to be the next hotspot for real estate investors, according to industry experts.

Analysis by ASPIRE Property Advisor Network reveals that Bridgeman Downs, 13 kilometres north of the CBDhas evolved from a home-buyer hub of rural residential to a solid investor option.

Founder and managing director of ASPIRE Richard Crabb believes it follows all the fundamentals that should see prices rise.

Advertisement
Advertisement

“Increasing rents, falling vacancies, rising population and affordable property options are the gold standard when it comes to selecting promising investment locations, and Bridgeman Downs ticks all those boxes,” Mr Crabb explained.

According to SQM Research, Bridgeman Downs’ rental vacancy rate has progressively dropped from its peak figure of 4.5 per cent in November 2016 to 3.2 per cent in November 2019. 

In addition, the research showed that asking rents are up by 4.0 per cent for units.

“A combination of rising rents and tightening vacancies is a key indicator of investment income growth potential,” Mr Crabb said.

He said the population of Bridgeman Downs had grown around 13.4 per cent over the past five years and is set to continue.

“The suburb’s family lifestyle combined with excellent access to services, facilities, schooling and transport routes are driving demand,” Mr Crabb said.

“In addition, much of the suburb’s developable land has been exhausted, so supply is tightening.”

He said price rises had already begun, with Domain data revealing Bridgeman Downs was among Brisbane’s top 10 suburbs for median house price growth reflecting 7.2 per cent to December 2019.

Mr Crabb said the numbers show Bridgeman Downs is on the up; however, the fundamental of investment success continued to be asset selection.

“The key to profiting is avoiding cookie-cutter projects with unremarkable accommodation that is geared specifically at short-term tenants,” he said.

“Boutique complexes with points of difference are better for both rental and value growth potential.

“Look for projects with plenty of room, both in terms of townhouse floor areas and common space in the complex.”

Mr Crabb said investors should seek high-spec properties that would appeal equally to both home buyers and tenants.

“The other tip is to buy below the suburb’s median price, which gives the property plenty of upside potential over the long term,” he concluded.

Brisbane suburb a potential investment hotspot
brisbane smsf
smsfadviser logo

Are you up to date with the legislative changes from 1 July? Contribution cap increases, super guarantees, age increases, SG rate increases. The budget announcement changes. Don’t be caught off guard by your clients’ questions. Prepare for any scenario with the SMSF Foundations course. 21 CPD hours available. Learn more

Arm yourself with the critical information that you need to ensure you and your clients continue to thrive in today’s changing environment at the free-to-stream SMSF Adviser Technical Strategy Day. Live streamed directly to you in October over three days, this event is jam-packed with expert-led sessions to arm you for success by providing the latest updates on regulatory and legislative changes impacting SMSFs. Secure your free spot today, visit www.smsfstrategyday.com.au

join the discussion

Latest poll

Do you have clients that are aged 65 or 66 planning to trigger the bring forward rules?

SUBSCRIBE TO THE
SMSF ADVISER BULLETIN

Get the latest news and opinions delivered to your inbox each morning

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.