Toowoomba

<html><body>
I think there’s a strong argument that the strongest property market in Australia right now is not Sydney, nor Melbourne, but the Queensland regional city of Toowoomba.
This is the market which has not only delivered outstanding growth in the past year but has the credentials to keep on doing it. It has one of the nation’s most vibrant local economies, it has the lowest unemployment in the land, it’s affordable, it has above-average rental yields and there is a massive infrastructure spend under way.
That’s an investment cake with lots of tasty ingredients. And the icing on the cake is the resources activity in the nearby Surat Basin.
A question I always ask when a location is being boosted by exceptional circumstances is this: if all that activity suddenly stopped, would the location still be a good investment?
In the case of Toowoomba, this means: would the cake still be tasty without the icing? If all the coal seam gas and related activity stopped tomorrow, would Toowoomba still be a good buy?
The answer, unequivocally, is yes.
Toowoomba has long been an important regional centre. It’s Queensland’s largest inland city and it has that most important of ingredients, economic diversity – including agriculture, tourism, manufacturing, health &amp; community services, construction and government administration.
I’ve been shouting about Toowoomba for several years now and recently the city has been widely recognised for its many qualities.
A 2012 report by the Queensland Chamber of Commerce and Industry rated the <a href="https://www.urban.com.au/property-observer" target="_blank">Toowoomba</a> region as the backbone of the state economy. The chamber’s Queensland Pulse Report ranked the south-west region, centred on Toowoomba, as the leader in all key criteria except one. The region led the state on business confidence, general business conditions, sales and revenue, employment levels and capital spending.
A 2013 report by Suncorp Bank rated Toowoomba as the employment capital of Australia. It had the lowest unemployment rate at 1.9%, ahead of Darwin 2.1% and Canberra 2.9%. This was reinforced in a September 2013 report which found Toowoomba’s unemployment rate was 1.5 percentage points below the national average. Toowoomba was also rated the third most “family friendly” of Australia’s 30 largest cities.
Affordability and strong rental returns are a big part of the Toowoomba appeal for invesetors. The standard house purchase is something in the high $200,000s or low $300,000s, with apartments in the mid to high $200,000s. It’s fairly easy to find 6% gross yields on houses and 6.5% on units. Vacancies are consistently low.
According to Australian Property Monitors, there has been exceptional capital growth in the past 12 months. Most suburbs have had double-digit growth in their median prices, with several recording 15% to 18%.
Prospects for ongoing performance are strong. The infrastructure spend is considerable and there is the bonus of resources activity via the coal seam gas which is feeding the new processing plants at Gladstone.
The Wellcamp Airport is well advanced in construction, there is massive investment in roads (including the $1.6 billion second range crossing, which has state and federal funding), there are plans for two major new rail links to serve the resources sector, a $300 million convention centre is in the offing and there are upgrades to medical facilities including Toowoomba Hospital.
Property developers are active, with projects that include a $350 million re-development of inner-city retail facilities, major industrial estates and an array of housing and apartment projects.
In terms of what many investors would see as the ideal investment venue – affordable prices, strong rental returns and great future prospects, underpinned by a vibrant local economy – it doesn’t get much better than Toowoomba.
You can contact Terry via <a href="https://mailto:ryder@hotspotting.com.au" target="_blank">email</a> or on <a href="https://www.twitter.com/hotspotting" target="_blank">Twitter</a>.
 
</body></html>

terryryder-YECXbqmri2

Strongest property market right now isn't where you think

<html><body>
Being one of the more affordable regional locations in Australia, Toowoomba and surrounding suburbs offer an opportunity for many different types of home owners, according to a recent Herron Todd White (HTW) residential report. 
The report notes with various industry and job opportunities, a central hub location, a diverse property market and varying segments, there are many different home owners, whether first home owners, families, upgraders, renovators or prestige buyers.
"Older, smaller property in need of some TLC remains popular with first home buyers as they offer a blank canvas opportunity to add value and are at a much lower price point than a brand new larger house in a newly developed area. Many of these properties are located in the western suburbs and close to the CBD," the valuation firm commented. 
The HTW report provides an example of a 1950s property in the fringe CBD suburb of Newtown that sold in March 2019 for $222,500 (pictured below). 
Situated on a 615 square metre lot, the property at <a href="https://www.realestate.com.au/sold/property-house-qld-newtown-130433962" target="_blank">33 Gordon Avenue, Newtown</a> is providing three-bedroom, one- bathroom accommodation in original condition.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/9/18/newtown.jpg" alt=""> 
Families generally seek slightly different properties to the first home buyers, with a focus on more space (ie. four bedrooms), bigger back yards and close proximity to schools.
This type of housing is found throughout Toowoomba, Highfields and Westbrook, generally in the sub-$600,000 segment.
The report provides an example of a circa 1900s, renovated, property at <a href="https://www.realestate.com.au/sold/property-house-qld-south+toowoomba-129621290" target="_blank">214 Geddes Street, South Toowoomba </a>that sold in October 2018 for $580,000 (pictured below).
The property is situated on a 1,093 square metre lot providing four-bedroom, two-bathroom accommodation and located within 500 metres of Centenary Heights State High School.
 <img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/9/18/south%20toowoomba%20.jpg" alt="">
Renovation has always been popular in the Toowoomba area with the market dominated by owner-occupiers.
The market for potential renovation projects is quite broad across the area.
Older character style homes in the circa 1900s to 1940s range have always seemed popular to buyers looking for a renovation project.
These homes are predominantly character timber with detailed decorating throughout, high ceilings, timber floors and VJ walls.
The majority of this product type will be found in close proximity to Toowoomba’s CBD in areas such as South, East and North Toowoomba and Newtown.
Below is an example of a circa 1930s property in original condition at <a href="https://www.realestate.com.au/sold/property-house-qld-east+toowoomba-129855370" target="_blank">21 Ipswich Street, East Toowoomba</a> that sold in December 2018 for $425,000.
 <img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/9/18/east%20toowoomba%20.jpg" alt="">
Suburbs encompassing the prestige sector include Middle Ridge, Rangeville, Redwood, Prince Henry Heights, Mount Lofty and East Toowoomba.
These suburbs are located towards the eastern escarpment of Toowoomba, some enjoying larger lots and valley views as well as being within many of Toowoomba’s private school catchment areas.
The typical prestige property comprises open plan four plus bedrooms, two to three bathrooms and multiple floor levels on large lots.
They are generally large, highly renovated or extended older timber and brick homes, and modern architectural homes with detailed finishes, quality landscaping and some with escarpment views.
The report provides an example of a property at 30 East Street, Redwood that sold in July 2018 for $1.25 million (pictured below).
The property is situated on a 1,722 square metre lot, providing four bedroom, three bathroom accommodation featuring open plan living, a modern kitchen and Lockyer Valley views to the east.
The property is located within 700 metres of Toowoomba Anglican School and Fairholme College.
<img src="https://res.cloudinary.com/dz9xllyip/image/fetch/c_scale,w_580,q_auto:good/https://s3-ap-southeast-2.amazonaws.com/po.images/2019/9/18/redwood.jpg" alt="">
</body></html>

Toowoomba

Editor's Picks

Have something to contribute?

Developments

New apartments

New townhouses

News

Toowoomba

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

Developments

New apartments

New townhouses

News