Suburb spotlight: Riverview, QLD has underperformed
A former housing commission area in Ipswich, Queensland, Riverview is located about 30 kilometres from the Brisbane CBD.
Property Observer ran a search and found only 40 properties for sale in the area.
Australian Property Monitors senior economist Dr Andrew Wilson told Property Observer that Riverview has “underperformed” over the last few years, though he expects the wider Brisbane property market to pick up in the next year.
“Riverview is part of that budget market in Queensland, it has been soft, as it has been right on that budget level,” he said.
Dr Wilson notes that most outer suburban regions that fall under the budget market have been “weak and soft” as a result of a decline in the local economy.
“With positive signs of improvement coming through, gradually the budget market will pick up in Brisbane. Given the higher affordability going straight into entry-level prices, generally the market will start to pick up,” he said.
He believes the Riverview property market will see some growth by midyear next year, though in the short term low buyer activity is to be expected.
First National Westside principal George Collis believes the Riverview property market is “warming up” at the moment.
He notes that Riverview is “less developed than its neighbouring suburbs” and is still recovering from the aftereffects of the global financial crisis.
“Things are improving, though they are not back at the peak of what they were,” he said.
Collis added that the average buyer would usually choose to purchase a property in a neighbouring suburb instead.
“You would have to have a specific reason, like your mum lives in the area, or get something for a really good price to justify buying there and not in an adjacent suburb,” he said.
However, it’s not all doom and gloom. Collis thinks the property market in Brisbane will pick up next year, though he does not expect Riverview to be inundated by specific queries.
For property investors, he notes that most properties in Riverview were built by the Department of Housing – therefore, they are built for rentals, and are usually very well-built.
“You normally receive pretty good rental returns. Also, right now you can probably buy at a reduced price,” he said.
Collins reminds potential investors that certain areas of Riverview were flooded, and to consider factors such as flooding and mining influences before purchasing a property.
