Brisbane's apartment price dips by $50,000: SQM Research

Brisbane's apartment price dips by $50,000: SQM Research
Brisbane's apartment price dips by $50,000: SQM Research

At a time when vacancy rates are down nationally, suggesting the market is still tight, some units in inner-city suburbs of Brisbane are finding it difficult to find a buyer, according to SQM Research.

Apartments at 1-4/42 Le Geyt Street in Windsor in Brisbane hit the market in January this year with an asking price of between $498,000 and $525,000.

Yet, even in August, four remain unsold, and the vendor has dropped prices by more than $50,000, says SQM Research. 

The apartments were completed in June 2016. The two bedroom, two bathroom apartments with parking are touted as perfect for investors, “with above average rental return, excellent depreciation” and grant benefits from a brand new building.

The complex is only 3.5 km north of the Brisbane CBD and within walking distance to the Royal Woman's and Children's Hospital.  

Like other inner-city areas in Brisbane, the area has attracted a relatively young population. According to the 2011 Census, the median age of the population in the 4030 postcode, which includes Windsor, was 34 years, four below the Queensland median. 

But investors will need to watch out for the high vacancy rate in the postcode, sitting at a relatively high 3.9%, according to SQM Research data

Reflecting that, asking rents for units in the area have been dropping. This is something interested buyers would need to assess.  Downward pressure on rents may depress property values - and indeed, asking prices for units in 4030 have eased back this year.

Tags: 
Brisbane

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