Property Insights - Brisbane / SEQ

Hi All

I thought this might be of interest to some of you. I went to the MFAA (Mortgage & Finance Association of Australia) QLD Property seminar today. For those of you who dont know what that is, its the new name of the MIAA, which is an association that many mortgage brokers, myself included, belong to.

One of the presenters there, Mike Matusik did a very interesting speech backed by powerpoint. Hes quite a character but the people I spoke to said hes beyond the expert in the field.

A copy of the powerpoint is set on the website home page if you are interested in downloading it.

Parts may be considered somewhat offensive to some with some of the slides, so an under 18 stamp may be required. If this occurs, please send any complaints to peter 147.

The intital presentation is a bit of a review in 2006
Some comments re the slides...

Firstly, DO NOT CALL TODD as related to in slide #7
Slide 12 & 13 is a "wheres wendall"
Slide 24 shows auction clearance rates, his opinion anything over 50% is 'good'
Slide 29 Shows the undersupply which is brought on by builders and for lack of a better term, overpricing (my words paraphrasing him)
W/Slide 48, all the share market increases has been done by the changes to super laws. He is expecting that after the federal election, and IF the FHOG is increased the money from super will be coming back into property.

Other points:
*That increasing rentals such as 20-30% as reported by the papers had omitted to add in 'over a 5 year cycle' so these on an overall basis are not happening. More around 10% is the average
*Still a shortfall of 12,000 new homes pa.
*Perhaps with the 'pond effect' the outer ridges of Brisbane are starting to show some growth as these are the entry points now for 1st home buyers.
*Brisbanes valuers are flat out and dont have time to scratch themselves
*Market MAY BE at the bottom and now is the time to get in before the FHOG inceases (if it does)

The hyperlink is http://www.matusik.com.au/

As a disclaimer, this is for informative purposes only and any actions you take on the basis of the information is solely on your head not mine.

Hope this does create some interesting discussion.

Thanks for sharing this info Richard.

It is certainly interesting seeing some of the data in tables to back up what Matusik had to say.

He might be spot on with his predictions about Brisbane for 2008 but I'm wondering if this is already happening in the lower end of the market.

Some recent observations that I've made are as follows:

*properties priced under $300.00 are being put to contract quite quickly
*less stock available to choose from
*real estate magazines from outside RE offices have become quite thin
*local papers constantly advertising in the RE sections wanting properties to list for sale and /or rent
*more photos of properties with sold/under contract splashed across them
*increasing letter box material offering free appraisals etc.

Cheers,
AnneDe

****These observations are based on my opinion only. Please do your own due diligence******

AnneDe said:

Thanks for sharing this info Richard.

It is certainly interesting seeing some of the data in tables to back up what Matusik had to say.

He might be spot on with his predictions about Brisbane for 2008 but I'm wondering if this is already happening in the lower end of the market.

Some recent observations that I've made are as follows:

*properties priced under $300.00 are being put to contract quite quickly
*less stock available to choose from
*real estate magazines from outside RE offices have become quite thin
*local papers constantly advertising in the RE sections wanting properties to list for sale and /or rent
*more photos of properties with sold/under contract splashed across them
*increasing letter box material offering free appraisals etc.

Cheers,
AnneDe

****These observations are based on my opinion only. Please do your own due diligence******

Click to expand...

I noticed a large amount of tenants enquiring at REA Offices regarding rentals during my visit and this demand was confirmed by the agencies and managers; a check of rea.com.au is showing a lot of 'under contract/under offer' notices in some areas of interest

All good news

I'd be interested if you had any more insights from what Matusik dicussed Richard

Redwing
Flat out right now with new biz so if I get time over the next week I'll try to access my old memory.

to add in for your review.

Powerpoint hyperlink of 2nd presentation by Paul Grennan of HTW Valuers is below, which basically confirms a lot of Matusiks stuff. Considering 2 seperate sources they are both seeing the same thing.

One thing to note is the valuers are seeing a lot of owner occupiers overcapitalising on renovations, or they are building a super flash house in a cheaper suburb and expecting it to value up the same as what is being sold in a more ''upper class'' suburb - dont know if I mentioned that before. memories come and go when the arteries free up.

http://www.mfaa.com.au/uploads/0702Grennan.pdf