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Monthly Archives: February 2014
The inner-northern suburbs of Brisbane have been identified as a potential investor hotspot, with prospects for both rental returns and capital growth.
Areas such as Albion, Windsor, Wilston, Newmarket and Grange are recording amongst the best performances in Brisbane’s housing market, which is now moving solidly through a recovery mode.
Suburbs within a 10-kilometre radius of the city center, particularly in the “inner-north wealth belt” would continue to offer the best potential for landlords.
There is a great deal of optimism for these areas that offer excellent proximity to the CBD, good transport and very fashionable levels of residential infrastructure.
Albion and surrounding suburbs are bringing renewed energy into the Brisbane market due to their prestige, convenience, village ambience, great lifestyle and excellent facilities.
Brisbane City Council’s recent focus on improving the Albion region and its surrounds under a new urban renewal program would further add to the area’s appeal.
The council is working closely with the local community and property owners to create a plan that provides a greater and more diverse range of employment, residential uses, entertainment, recreation opportunities and services.
Even if your investment attributes includes a good location, great living space and perfect surroundings, a problem property can land you in financial difficulties and eat away your investment returns.
If you are an owner-occupier rather than an investor, you risk the lifestyle and even the safety of your family.
Many expensive property problems are not visible to the untrained eye, so before committing to buy a property, make sure you have received professional advice in relation to the following property attributes.
Common Property Problems That are Expensive to Fix
Electrical faults and wiring
Wiring problems tend to be more prevalent in older houses, and may include physical defects to power outlets, not having circuit interrupters installed, incorrect or unsafe wiring. The configuration of the electrical system should be adequate to meet the needs of the property.
These white ants cause serious damage to structural components of a property. A surveyconducted by Rentokil in June showed that almost three out of four Australians would immediately disregard a property with termites, and more than half of the respondents also believe termites devalue a home by at least 25 per cent.
Additionally, termite damage is not covered by home insurance.
These may include foundation movements, tipping walls, sagging roof lines, and uneven or tilting walls. Structural problems can be brought about by a number of things, such as plant roots growing under the foundation, the type of soil the house sits on, shrinkage or expansion of wall materials, as well as water leakage from broken drainpipe.
Problems with drainage systems and leaking pipes attract termites and cause structural damage. Poor external drainage leads to mould and crystalline deposits around the base of the home.
For internal drainage problems, look out for unpleasant smells, toilet blockages, water draining slowly from sinks, extensive mould on walls and in serious cases, subsidence.
A permit may be required for timber decking constructions or structures with roofed covered areas such as a garden shed or a gazebo. Failure to obtain the relevant permits not only affects your home insurance, you may also receive a demolition order or a request to pay for its approval.
A leaking roof affects the interior of a home, causing stains on the ceiling, walls or floors as well as the smell of mould. Left unrepaired, it can also penetrate wiring and become a safety hazard.
Avoid Making a Poor Investment on a Bad Property
The repairs above do not add any value or extra appeal to potential tenants or future buyers because they involve functional aspects that are already expected from the property.