Oversupply increasing affordability for Toowoomba first home buyers: HTW

Toowoomba continues to offer affordable options for first time buyers with a large supply of product on the market, steady investor interest and land developments benefiting affordability, according to HTW’s Month in Review: March 2017. 

The valuation firm says land development in the western suburbs, including Glenvale and satellite suburbs such as Wyreema and Cambooya, have offered affordable land or house and land packages for first time buyers.

“Some new developments in the western suburbs have introduced small lots, which may be attractive to first time buyers because of their lower price points than traditional sized lots,” the report says.

“This has been enhanced by the current low interest rates, developer land rebate offerings and $20,000 first home owner grant available until 30 June 2017.”

An oversupply in some areas has resulted in price reductions across older established properties in the sub $400,000 market, significantly reduced asking rents and increased vacancy rates up to around 4%.

“First time buyers should consider all avenues such as an existing property in an older established area,” HTW says.

“An older, possibly smaller property in need of some [care] could present an opportunity for a first time buyer to get a foot in the door of the property market at a much lower price than a brand new larger house in a newly developed area.

“Many of these properties are located in suburbs close to the CBD.

“The first time buyer could potentially build capital with future improvements.”

A three bedroom house at 149 Jellicoe Street, North Toowoomba (above) has been listed for $239,000.

Similarly a three bedroom house at 10 Raff Street, North Toowoomba (below) has been listed for over $319,000.