EQUIRE DIRECTOR ALLISTER LEWISON SHARES HIS THOUGHTS ON PROPERTY PREDICTIONS FOR 2018
Q. How is Equire taking advantage of the property market trends in 2018?
When looking forward to property market trends this year, it’s important to remember that property is cyclical and each market follows its own pattern. At Equire, we are nimble and adaptable and, most importantly, we are able to actively diversify the markets we are developing projects in to suit individual needs.
Q. What do you see as key market trends in Queensland?
2018 will bring an increased demand for housing options across South East Queensland. Data shows that there is forecast growth for the region, particularly due to the Commonwealth Games in April where the government is set to spend up to $1.5 billion on infrastructure and improvements. Additionally, the Gold Coast is one of Australia’s fastest growing cities. Its current population is over 500,000 and this number is expected to grow to 820,000 in the next 20 years, according to the Australian Bureau of Statistics. In Brisbane, despite the recent slowdown in apartment sales, the next 12 to 24 months should show a gradual increase as buyers regain confidence in the market.
Q. Equire has a number of projects in Perth, do you see this market turning around?
Although Perth has been a challenging market over the last few years, steady growth is predicted over the next 24 months and I believe demand will eventually increase, albeit a gradual process. In cities like Perth our strategy is based on market dynamics at the time of procuring a site, meaning we set an achievable sales rate and know that projects will still be successful.
Q. In Melbourne, what type of housing product do you think will be in high demand and why?
In Melbourne there has been an influx of first home buyers, with the Australian Bureau of Statistics data showing loans to Victorian first home buyers reached its highest monthly level in November 2017, at 3,527, since late 2009. Downsizers have also been flagged as an active buyer group, as more parents are prepared to sell off their family home and move to something smaller. Once buyer trends are recognised we can then provide the appropriate housing product to talk to this market. At the moment this includes good quality, small scale apartment projects as well as townhouse developments. I don’t see the first home buyer and downsizer markets slowing down throughout the year and am confident in the upcoming launch of our Ivanhoe apartment development.