South East Queensland Property Market continues to generate interstate and overseas clients. Client competition persists with low and middle income earners able to purchase a property much sooner with the government-backed initiative First Home Loan Deposit Scheme or FHLDS.
Interstate and overseas clients are targetting SEQ suburbs either for residence or investment. Top profit-making areas in the region include Scenic Rim, Moreton Bay and Redland. According to Ray White’s latest SEQ research, “a number of new entrants from interstate and with overseas origins are in competition with traditional groups.”
Local clients can keep up because of better market and lending conditions. They are also opting to leverage the government’s FHLDS program to purchase a home through a home loan that suits their financial parameters and capabilities. The FHLDS also allows low and middle income earners to purchase a home with a deposit of as low as 5 per cent (lender’s criteria apply). It will also provide them to gather essential financial information to support their application and give them an option between small lenders and major banks. 27 lenders are participating under the FHLDS, which applicants can choose from. The National Housing Finance and Investment Corporation or NHFIC created a quick and easy tool to determine if an individual is eligible for the Scheme’s criteria. There are already 3,000 prospects under the scheme and there are a remaining 7,000 Scheme places for the remainder of the financial year. Another 10,000 places will open in July 2020. More residential land development projects, small, medium and large are sure to commence in SEQ soon. The region is positioned for growth in land sales volumes and values moving forward.
Major banks Westpac and ANZ slashed their home loan interest rates to stay competitive and to target the investment market. Smaller lenders like Bank Australia and Bankwest did the same. All of these done ahead of RBA decision in regards to the cash rate this February.
Also, Brisbane Airport just exceeded 24.1 million passengers, a record-breaking number recently. The Brisbane Airport Corporation (BAC) recorded the strongest domestic and international growth amongst major gateway airports last year. Overseas travelers numbers increased by 266,182 to more than 6 million. Domestic passenger numbers on a better note increased by 1.3 per cent to over 17.7 million. We are expecting more people from other states and countries to fly in. Most of them would probably focus on property investment with house prices in several SEQ suburbs predicted to rise. New infrastructure projects are also getting the greenlight improve congestion and make SEQ suburbs more liveable and sustainable.
The SEQ recorded significant land sale volumes improvement in mid-2019 that will persist until 2020. Gallery Group is overseeing a few major residential development projects in SEQ. A selection of quality house and land packages for you too choose from to suit the lifestyle you want for you and your family. Contact us today to learn more.
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