Perfect Storm; the phrase has grown to mean any event where a situation is aggravated drastically by an exceptionally rare combination of circumstances. Source: Wikipedia
The ‘situation’ - a slowing property market
The ‘rare combination of circumstances’ –
- Economy recovering from Global Financial Crisis
- Steady interest rates
- The weather events of early 2011
‘Perfect’ is the time to buy = NOW
Local Sunshine Coast agents report increased sales volumes but with the underlying theme of buyers only committing if they believe they are getting a bargain.
On the back of recent sales at reduced prices, many Vendors, particularly those with extended periods of time already on the market, have had to re-price their properties to gain Buyers interest.
There is now the opportunity to capitalise in traditionally tightly held areas such as Cotton Tree, Alexandra Headland, Sunshine Beach, Kings Beach, Noosa Heads and Buddina at far more affordable prices.
Over the long term the coastal strip properties are the best capital growth performers.
Yes - at present they are below their peak but above values of 5 years ago.
Data Source: Property Data Solutions Pty Ltd 2011
In the current climate a house or permanent let unit would be the wise choice as an income earner, as opposed to holiday let resort style units (Tourism and therefore occupancy rates are currently well down).
How long will this last?
According to Dr Wilson, senior economist for Australian Property Monitors, the Queensland floods will impact on the market. “The shortage of rental properties in Brisbane, particularly houses will put upward pressure on property prices, not only in Brisbane but the Gold and Sunshine Coasts, which are in commuting distance”.
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