Queensland Leads the Nation for Interstate Migration

Queensland Leads the Nation for Interstate Migration

Spread the love
Queensland is the most popular state for interstate migration, overtaking Victoria for the top spot.
9942956b-98a2-4f2c-b97d-e75c62feb1a9

Making the journey north isn’t just for migratory birds and humpback whales anymore — it’s becoming the norm for Sydneysiders too. More interstate migrants have started calling Queensland home over the last seven quarters then since the end of the Global Financial Crisis (GFC), and there’s no doubting why. The inflated property market in many Australian states, Sydney more significantly than any other, has led to a dramatic increase in the number of Australians who’ve made the move to the Sunshine State.

The latest Australian Bureau of Statistics data released in December 2017 highlights a dramatic transitional period, with Queensland, Victoria, Tasmania and the ACT all recording net interstate migration booms, Queensland with the highest migration gain. Net losses were experienced in Western Australia, South Australia, the Northern Territory and most dramatically, New South Wales. Of all interstate migration, 27.5% of people relocated to Queensland, a total of 30,687 people.

The figures reveal Queensland and New South Wales have the largest exchange of people with 52,000 people making the move north and 36,900 south. These numbers have seen Queensland overtake Victoria for the first time since 2014. During the previous four years, Queensland came second to Victoria in terms of net interstate movement, so these states have swapped.

Affordable housing, year-round great weather, plenty of new investment opportunities, growth in the job market, and exciting new infrastructural developments throughout the state make Queensland the no-brainer choice for Sydney locals who can no longer justify the inflated cost of living. With an increase in demand comes a natural increase in the competitive nature of the market. Interstate migration levels are now steadily and consistently approaching pre-GFC levels, and all these new Queenslanders need somewhere to live. While many will end up renting, these statistics still indicate great things to come for the property sector in the Sunshine State. More demand means that prices are only going to go one way.

Queensland

While this migration increase will be dispersed throughout the entirety of the state, Brisbane, the Gold Coast and the Sunshine Coast are expected to notice a significant boom. The latest Deloitte Access Economics report, Business Outlook, highlights expected growth not just in the property sector, but a job and infrastructure boom may be contributing to the interstate migration rates, with more to come in the future.

It seems, just like those whales frolicking off the Fraser Coast, Queenslanders really do have something to get excited over.

Queensland

If you are looking to relocate or invest in Queensland – we have a wide variety of property options and locations, check out our HOT PROPERTY page or give us a call to see how we can help you! Call Blue Wave today on 07 5446 8773

Townhouses -Top Choice for Aussies

Townhouses -Top Choice for Aussies

Spread the love

Townhouses have trumped apartments and houses to become the most popular residential development sites in Australia.

Outlook Chermside Townhouses

Head of residential research at ‘Knight Frank’ Michelle Ciesielski said from a development perspective, this product offers developers less stringent financing by the major lending institutions. “The less risk involved in not going vertical in construction allows the staged development to be more controlled,” she said. “It allows the developer to kick off construction earlier, rather than waiting to achieve a high portion of sales within the residential tower project. As more downsizers are also drawn to this product, it’s likely we’ll see more of this type of development in this space over the coming years.”

Much of the capital growth gained in greater Sydney and greater Melbourne is where many first-time buyers are now priced out of the single-dwelling, low-density market, with a clear trend emerging towards medium-density townhouses.

“Whilst affordability remains an issue in major Australian capital cities, many purchasers are now opting to buy into the townhouse market, or upgrading to townhouses as the next best option when priced out of the low density, single dwelling market,” Ciesielski said.

Knight Frank highlighted the trend towards medium density has been evident in the types of development sites being purchased. In 2014-15 the portion of medium density development sites was 3.0 per cent. Two years later, this increased to a 13.8 per cent share of total disclosed sales in 2016-17.

Low density sites have also taken a greater share at 13.6 per cent of sales in 2016-17. As a result, higher density sites have fallen from 87.5 per cent in 2014-15, to stand with a share of 72.5% two years later.

Mainwaring Townhouses

Sydney

The total volume of Greater Sydney major site sales suitable for residential development lagged annual sales recorded over the past three years.

Knight Frank director of NSW site sales Tim Holtsbaum said in 2016-17, residential sites tallied $3.3 billion – notably lower than the significant volume recorded in 2014-15 of $6.4 billion.

“It was at this time that the government began to ramp up the encouragement of higher-density residential projects being built along transport corridors and amenity hubs. Since this time, the demand for greater Sydney higher-density sites has eased back towards that recorded in 2012-13.

“The more recent trend has emerged over the past year, with developers and investors opting to purchase sites suitable for medium-density development. This is a result of access to debt financing and constrained supply of medium-density land,” he said.

Moreton Townhomes (4)

Melbourne

According to Knight Frank Head of Victorian Commercial Sales Danny Clark, the total volume of Greater Melbourne major site sales suitable for residential development outperformed the previous four years to record $3.1 billion in 2016-17.

“This was up 57.4 per cent, by value, on 2015-16 and was dominated by several low density sales.

“Overall low-density sites recorded a 26.2 per cent portion of total sales in 2016-17 (or $818 million), growing from a year earlier when these sales represented only 6.1 per cent.

“Medium-density site sales represented 3.5 per cent of total sales in 2014-15. This increased to a 13.2 per cent share in 2015-16, whilst most recently recording the greatest share of 15.5 per cent in 2016-17.”

Clark said many purchasers of occupied sites were taking advantage of this income stream – especially in suburban markets with tight office vacancy along the fringe – with a steady pipeline of new apartments earmarked for the suburb.

 Townhouses

Brisbane

Greater Brisbane recorded two consecutive years of lower total sales of major development sites than achieved at the peak of the market in 2014-15 — a similar trend experienced in Greater Sydney and the Gold Coast LGA.

In 2016-17, Greater Brisbane residential site sales tallied $409.2 million, down 46.4 per cent from the year earlier — for those sites valued at higher, or equal to $2 million.

“Over the past three years, the portion of higher-density sites purchased throughout Greater Brisbane has averaged annually 73 per cent when calculated against all sites suitable for residential development,” Knight Frank Queensland’s Christian Sandstrom said.

“The more interesting thread to follow is the share of those sites suitable for medium density growing from 2.3 per cent in 2014-15 to 9.8 per cent in 2015-16; to record 11.0 per cent or $45.0 million in 2016-17.

“As the ongoing downsizer trend continued and the median value for houses in Greater Brisbane grew on average 5.1 per cent per annum between 2014-15 and 2016-17, townhouses became a favourable option.

“Over this time, the share of low density sites sold dropped from 25.1 per cent to 17.4 per cent. In 2016-17 this portion was 15.8 per cent or $64.5 million,” Sandstrom said.

 Townhouses

Perth

The total volume of major site sales in Greater Perth suitable for residential development lagged annual sales recorded over the past four years, for those valued at or above $2 million. In 2016-17, residential sites tallied $129.7 million – almost a quarter of the volume recorded in 2014-15 when Greater Perth site sales totalled $520.6 million.

At this time, the total volume of development site sales peaked across the Australian market.

Dividing development site sales by potential density in Greater Perth, in 2014-15 and 2015-16, higher density sites represented 67.1 per cent and 66.0 per cent respectively. Although coming off a lower base, by 2016-17 the portion of higher density sites sold had increased to 91.8 per cent.

“Greater Perth has not experienced the recent high level of demand towards medium density sites by developers and end-buyers as witnessed in Greater Sydney and Greater Melbourne,” Knight Frank’s Todd Schaffer said.

Many buyers in these cities are using this medium density platform as an entry-level option into home ownership.

“Instead low density houses are becoming more affordable for first home buyers in Greater Perth. As a consequence, the residual of total development site sales have been for low density housing, with an 8.2 per cent share in 2016-17,” Schaffer said.

 Townhouses

We have a great range of townhouse stock here at Blue Wave Property Strategies and can generally source stock in any states. If you are looking at a townhouse for either owner occupy or investment give Chris a call on 0434 449 455 to see if any of our stock is suitable for you.