Investors

Invest in Queensland with Ausbuild

Investors are enjoying strong returns as rents head upwards, due to soaring demand and massive shortages of rental properties needed to accommodate the dramatic population shift to the Sunshine State. With no shortage of good tenants looking for a quality home in the right environment, this is a property investor’s paradise. Ausbuild has also been building since 1988, and has built homes for over 5000 Queensland families, so enjoy the security of dealing direct with one of Queensland’s best builders.

Turn Key homes offer the best potential for growth

Individual homes, in top areas offer great potential for capital growth. These top quality Turn-Key homes come complete with carpets, tiles, window coverings, landscaping, lawns, even the letterbox and driveway.

Just perfect for your tenant to move straight in and start living.

Enjoy the security of dealing direct with Queensland’s best builder - Ausbuild Winner of the 2008 HIA-Vero Queensland Professional Major Builder of the Year.

Growth in homes in growth corridors

Ausbuild has targeted the most attractive areas: close to transport, services, schools and shopping centres, with the CBD or major shopping precincts’ easily accessible.

From Brisbane’s Bayside to master-planned communities - there’s a massive choice for astute investors ready to capitalise on Brisbane’s growth.

Ausbuild has extensively researched the best areas for growth. It’s all laid out for you in free comprehensive suburb profiles, just contact Ausbuild to find out how to get your copy.

South East Queensland Market

The fundamentals of the South East Queensland residential property market are strong:
• Population growth is the fastest rate of any urban region in Australia
• The rental market is tight with low vacancy rates • There is a large deficiency of housing stock in relation to demand • Unemployment remains low • State Government infrastructure improvements are underway or planned for the future • Population growth remains strong • Tight rental market with low vacancy rates • Deficiency of housing stock in relation to demand • Unemployment remains low • Infrastructure improvements underway or planned for the future

Population growth

Queensland is attracting strong population growth, particularly through net overseas migration. The state grew by 90,516 people from 2006 to 2007, representing an annual growth rate of 2.2 percent. Net overseas migration accounted for 37 percent of growth, net interstate migration represented 30 percent, and natural increase was 33 percent. Overall, migration attributed to 67 percent of total population growth.

Tight rental market / low vacancy rates

The rental market resulted in a vacancy rate of 2.6 percent in Queensland for all types of rental accommodation, and 2.2 percent in Brisbane for the March quarter 2008. 2007 resulted in an increase in rents in most areas in Queensland, and the majority of rental agencies have seen demand for accommodation in their area increase over the last 12 months. Rentals are forecast to continue to show strong growth over the next few years due to the undersupply of new housing.

Deficiency of housing stock

The gap between supply and demand for new dwellings in Queensland is large at present. Construction of new dwellings is expected to increase to 33,000 dwellings in 2008/09, still well below underlying demand for an average of 44,000 homes a year.

Unemployment remains low

Unemployment in Queensland remains at record lows, at 3.8 percent in May 2008 compared to 4.2 percent nationally. The number of Queensland jobs increased by 3.5% over 2007, and growth in average weekly earnings was 4.5%. Source: Australian Bureau of Statistics, BIS Shrapnel, Queensland Government Office of Economic and Statistical Research

Infrastructure improvements

The Regional Plan and Infrastructure Plan guarantees the State’s continued growth management. From 2005 to 2026, the Infrastructure check list features:
• State and National road network
• Local Roads & Infrastructure
• Extended Rail Links
• Water Resources
• Energy
• Public Transport
• Public Infrastructure for Emerging Communities
• Information/Communication Technology

Ausbuild’s core activities are in developing a reasonable share of the new home and land activities within this dynamic sector.

What the others are saying;

• A shortage of housing stock will maintain house prices. Talk of widespread falls in house prices is way off mark. - Warwick Temby, HIA Executive Director

• Only three things induce a residential market slump - a rapid and significant change in interest rates; a significant rise in unemployment and a substantial slowing of population growth.

• Population growth for Queensland in the 12 months to June will be 90,500; the employment growth trend in January has been 2.3 percent; the unemployment trend rate to January is 3.6 percent compared with 4 percent in 2006 and the trend in individual earnings per week is $825 in 2007-2008 versus $817 in 2007.

• There are a few negatives and lots of positives in the market.

• The sources of demand still exist - interest rates don’t erase demand, they just delay it.

• Fundamentally we are in very good shape and a pause aside, we will be back on track in the last quarter of 2008.

• To make the most of what we have, some change is necessary.

- Extracts from an address to Ausbuild by Myles Campbell - State Research Manager, Stockland

Updated July, 2008

DISCLAIMER
All reasonable care has been taken in compiling the information appearing in this document. Ausbuild has relied upon information that has been obtained from various external sources but gives no warranty as to the accuracy or completeness of the information, and to the full extent allowed by law excludes liability in contract, tort or otherwise, for any loss or damage sustained by user, or by any other person or company arising from or in connection with the supply or use of the whole or any part of the information in this document through any cause whatsoever. Interested parties should make and rely upon independent enquiries and investigations to satisfy themselves that the information supplied herein is true and correct. All other responsibilities disclaimed.

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To discuss your investment options with us further...
Please Contact

Sean Porlier
INVESTMENT MANAGER
p: 07 3245 0600
m: 0413 387 793
sean.porlier@ausbuild.com.au