Talking to a developer friend this week, he told me of the bizarre predicament he is currently facing. He can get approvals from the council, which is a tick. He can get pre-sales from buyers, another tick. The banks are happy to fund so you’d think, there’s the trifecta. However, he can’t guarantee construction costs or timing, which freezes the entire project, even once it’s started, and it has seen some apartment complexes just screeching to a halt mid-build.
This has forced some developers to go back to their buyers and request an increase on their agreed offers, which many buyers are prepared to do because they see the alternative is no sale at all. But even with these increases, it is still not smooth sailing due to the uncharted building landscape we are currently facing. Each new week sees more opportunities and stimulation for the building sector. The intentions are great, but the resources are limited and the road out is not yet clear.
The answer is not easy but it points clearly to one outcome. Resale prices can’t fall, they can only rise to these new prices which will only continue to power the existing unit market. This market has seen strong growth over the last two years, but it looks like records are about to be broken all over the city.
I’m excited to follow arguably Brisbane’s biggest and best unit, the penthouse atop Riparian Plaza, which is being marketed by Matt Lancashire, and what can be achieved for an international apartment in our city.
Australians are passionate about transforming their homes, with national renovation spending reaching around $32 billion annually. But while enthusiasm is high, the real question is: do these improvements actually enhance a property’s value? Most Popular Renovation Projects Recent insights from Houzz reveal the top renovation trends among Australian homeowners. Kitchens … Read more
As I loaded the yellow gavel into the briefcase last Saturday, I was excited to see how the market was going to respond to the election result. Since the election last weekend, there has been further speculation of interest rate cuts with most experts expecting at least two more rate … Read more
Cush for Comment | June 29th
Talking to a developer friend this week, he told me of the bizarre predicament he is currently facing. He can get approvals from the council, which is a tick. He can get pre-sales from buyers, another tick. The banks are happy to fund so you’d think, there’s the trifecta. However, he can’t guarantee construction costs or timing, which freezes the entire project, even once it’s started, and it has seen some apartment complexes just screeching to a halt mid-build.
This has forced some developers to go back to their buyers and request an increase on their agreed offers, which many buyers are prepared to do because they see the alternative is no sale at all. But even with these increases, it is still not smooth sailing due to the uncharted building landscape we are currently facing. Each new week sees more opportunities and stimulation for the building sector. The intentions are great, but the resources are limited and the road out is not yet clear.
The answer is not easy but it points clearly to one outcome. Resale prices can’t fall, they can only rise to these new prices which will only continue to power the existing unit market. This market has seen strong growth over the last two years, but it looks like records are about to be broken all over the city.
I’m excited to follow arguably Brisbane’s biggest and best unit, the penthouse atop Riparian Plaza, which is being marketed by Matt Lancashire, and what can be achieved for an international apartment in our city.
That’s a ‘watch this space’.
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Boost Your Home’s Worth With These Smart Renovation Strategies
Australians are passionate about transforming their homes, with national renovation spending reaching around $32 billion annually. But while enthusiasm is high, the real question is: do these improvements actually enhance a property’s value? Most Popular Renovation Projects Recent insights from Houzz reveal the top renovation trends among Australian homeowners. Kitchens … Read more
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As I loaded the yellow gavel into the briefcase last Saturday, I was excited to see how the market was going to respond to the election result. Since the election last weekend, there has been further speculation of interest rate cuts with most experts expecting at least two more rate … Read more
Read Full Post