Ep. 107: The Shifting Sands of Investor Behaviour with Simon Clarke

In this installment of the Geared for Growth podcast, Mike hosts Simon Clarke, Brisbane Buyer’s Agent and Director of Setir, to delve into the evolving dynamics of investor behavior amidst rising prices and interest rates. Together, they explore the flourishing investment landscape in Brisbane, highlighting its potential for savvy investors who navigate wisely and engage with seasoned professionals.

Formerly overshadowed by Sydney and Melbourne, Brisbane was often characterized as a “big country town.” However, recent years have witnessed a remarkable transformation fueled by factors such as minimal pandemic-related restrictions and the anticipation of hosting the Olympics in the coming decade. With affordability constraints plaguing major southern cities, prospective buyers are increasingly turning their attention to Brisbane, where prices, while still climbing, remain appealing.

Mike and Simon also discuss the surging preference for apartments over houses, driven by the considerably higher costs associated with standalone dwellings. Simon shares insights into the criteria guiding his search for suitable units for clients and the rationale behind avoiding higher-density complexes.

Simon provides an overview of the current real estate landscape in Brisbane, highlighting low listing numbers and properties transacting swiftly, often before hitting the market. Despite these challenges, he underscores the untapped potential in the market, emphasizing the importance of comprehending market dynamics and having a strong grasp of the driving forces behind ongoing sales. For interstate investors, Simon suggests leveraging the expertise of a local Buyers Agent to navigate the nuances of the Brisbane market effectively.

Simon wraps up the conversation by pronouncing it “the year of the unit in Brisbane”, backed by some pretty compelling evidence. With such persuasive reasoning, this episode is one you won’t want to miss.

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Follow Simon Clarke:

https://www.setlr.com.au/

In this installment of the Geared for Growth podcast, Mike hosts Simon Clarke, Brisbane Buyer’s Agent and Director of Setir, to delve into the evolving dynamics of investor behavior amidst rising prices and interest rates. Together, they explore the flourishing investment landscape in Brisbane, highlighting its potential for savvy investors who navigate wisely and engage with seasoned professionals.

• The change in focus from houses to units
• Good investing opportunities in Brisbane
• The desirability of unit living
• Understanding the impact of density restrictions
• The NIMBY mindset
• How the pandemic led to Brisbane’s catchup
• What the Olympics means for Brisbane
• Picking the right Buyer’s Agent

“I think the good opportunities are in those inner city blue chip suburbs where there is access to amenity and transport and lifestyle and schools in Brisbane, that sort of inner inner ring of Brisbane” 3:03

“What we’re looking for is…where the spread between the house price and the unit is, let’s just for example, greater the $1,000,000” 5:30

“There needs to be some sort of scarcity piece attached to that. I think for an investor you need to be really strategic, it might be the one unique unit in that particular block it’s a corner so it gets extra light so those things (should) be taken into consideration as well when I’m looking to invest” 9:10

“In Covid prices took off and probably what was really holding it back was the economic conditions around Queensland. If you think through that period that you spoke about economically QLD Brisbane wasn’t performing very well, now everything is cyclical” 13:06

“The Olympics is not the be all and end all but it certainly puts a focus on the city both domestically and internationally and that puts pressure on federal and state governments to add infrastructure into the southeast Queensland area particularly Brisbane. We’re hosting the Olympics so I think that bodes really well long term” 14:44

“If you’re looking to buy in Brisbane I’d want someone on the ground. I think you want them on the ground here, you want them part of some organisations that are reputable there, setting standards organisations like the REIQ” 20:16

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