Big blocks ripe for investment

A PHENOMENAL few months in the Ipswich housing market have cooled off but there are still gains to be made for savvy investors, a local realtor says.

“Our first quarter of the year was our best for buyer activity since the GFC,” PRD Nationwide Ipswich principal Craig Mendoza said.

No matter what people thought, the best indication of what was happening was the time a property spent on the market.

“Properties were lasting sometimes not even a week” in the first quarter but now they might take 60 to 90 days to sell.

“I feel at the moment the demand has dropped off from the buyers,” he said.

Mr Mendoza said it was normal for things to quieten down over Easter.

Another factor was new building activity “hammering” sales of existing properties at times. People owning homes in the $300,000–$350,000 bracket sometimes had no choice but to reduce prices.

However, the market was still hot in some new suburbs to the south.

“Places like Ripley and Providence, they have huge sales numbers,” he said.

Mr Mendoza said investors from southern states were driving increased sales in some places. Big parcels of land were recommended for people keen on making long-term gains.

“Large executive blocks, they hold their value pretty well – land appreciates, and property depreciates.”

Real Estate Institute of Queensland figures showed median house prices for Ipswich rose 4.4% in the March quarter to $344,500.

Raceview, Goodna and Springfield Lakes were top performers but median prices slumped in Bundamba, Camira and Collingwood Park.

Ipswich unit sales made grim reading, with the median price plummeting nearly a third to $229,500.

Mr Mendoza said the market generally picked up in spring, with many buyers keen to secure a new home before Christmas.