It’s been on the tips of the tongues of many active developers & investors, including my many clients , mentors and friends.
THE (OVERSUPPLY OF) APARTMENTS ARE COMING…
and soon will be…
THE APARTMENTS ARE HERE!!!
With the market bubbling along and big developers going hard to bring stock to the market, check out the cranes on the skyline.
There was a great article recently in the Courier Mail (Sat 19th March 2016), where BIS Schrapnel, industry analysts commented about the apartment sector in Brisbane:
“very much now in danger of going into over-build. We estimate the market has already gone into oversupply of 10,000 to 15,000, heading for 25,000 excess apartments by June 2017“
That’s according to forecasting associate director Kim Hawtrey.
Having said that, BIS Schrapnel, continues in the article to confirm the demand for detached homes still remains strong, with “an undersupply of 24,000, which will reduce to 22,000 by June this year and then go down to 18,000 by June 2017″
Fascinating statistical insights into the market place which I personally think is priceless.
Whether you are smashing out renovators or building townhouses, any market that is active always has to come to an equilibrium.
It always pays to be proactive and aware of the dynamics both on macro (big picture) and micro (street/individual) level.
If you’re wanting to get more information on upcoming developments check out this website:
I am not associated with this group nor do I agree with all their views, but their research is insightful, like this Brisbane Development Map:
and Gold Coast Development map:
Til next time!