Mount Gravatt East is yet another Brisbane suburb under going massive amounts of change when it comes to the property market. located just 8km from the CBD and with a median sales price for houses around $640,000, this puts the suburb right in line with Brisbane Median house price. Compared to the same period five years ago, the median house sales price for houses increased 42.2% which equates to a compound annual growth rate of 7.3%. That growth rate might surprise some Interstate readers, who where under the impression Brisbane hasn’t had any growth. The truth is Brisbane has had growth, but it’s a more long term consistent burn, rather then a “BOOM”.
Buying an investment property is one part capital growth and one part rental return, and when it comes to returns the stats show that gross rental yield has softened in the past few years, I believe this is as a result of two factors, one, Capital growth. As prices rise, rents usually stagnate creating a softening in the gross rental percentage. And two, out of touch investors, what do I mean buy that? Well you see the demographics in this suburb have changed over the years, and tenants demand higher quality properties and they are willing to pay for it. Some investors get stuck in this mindset of “its just an investment property” which can be dangerous for the performance of your portfolio.
Also with around 37% percent of property being owned by investors the majority of the market are owner occupiers which is another great sign for the area. Another interesting statistic is that the largest demographic are couples with children, as an investor you need to be aware of this stat, and ensure your property caters for this demographic.
The suburb offers a range of up and coming cafes, aswell as proximity to schools, Shopping centres and also public transport which I believe will only continue to improve as the population increases in this area.
With the Suburbs median house price just under the Brisbane average median house price I believe Mount Gravatt East hold strong future potential.
To find out more on how to get into this market call our team on 07) 3170 3760 or email firstname.lastname@example.org