Outside influences affect region

Drought and tighter loan policies have contributed to the cooling of the property sector – but there’s good things on the horizon

DESPITE the Toowoomba region’s real estate market currently sitting in a “correction phase”, REIQ Darling Downs zone chairman David Snow (pictured) believes some decent rain and the completion of the region’s major infrastructure projects will soon have us back on track.

“I think one of our biggest issues at the moment is the drought,” Mr Snow said.

“It’s long been accepted that, as a region, we benefit directly from good times in the west and, with the current struggles our farmers are facing, we all share in their hardships.

“That has a direct flow-on effect because there are a lot of service industries in the area that rely on the rural sector.”

Mr Snow said it was understandable that major purchases like property would get “put on hold” if dollars were tight.

Like the much-needed rain, Mr Snow said there were many factors we didn’t have control over that were affecting our market at the moment.

He said tighter loan policies from banks and lending institutions had also contributed to a cooling in the property sector.

“It’s definitely more difficult to buy,” he said. “Since the banking inquiry, lenders are needing to establish a process for transparency, which will certainly have an impact on what buyers will be able to do. Changes to the first home buyers grant have also had a bearing.”

But he was confident sales would soon rebound, especially as major works like the Second Range Crossing were finalised.

“When the Second Range Crossing is completed, it will take an enormous amount of trucks and general traffic off our roads, leading to a better way of life for all Toowoomba residents as well as creating a direct corridor to Ipswich, Brisbane and the coasts,” Mr Snow said.

“People are prepared to work farther away from home these days and a quicker commute to the major cities will definitely be favourably looked upon. It’s not going to be the deterrent it once was because you’re getting there faster and you can still do business on your mobile as you drive (hands-free, of course).

“What it does allow is for families to stay in the area and the children to go to school in one of our quality educational facilities. It’s 10 minutes to drop them off and pick them up, instead of an hour battling traffic in Brisbane each morning and afternoon. Those things are very important when it comes to quality of life.

“Further to that, the cost of living here in the Toowoomba region is so much less, so the appeal of the area will be even more enhanced by these infrastructure changes.”

As such, Mr Snow strongly believed we should be playing to our strengths.

“We tell the world we’re the Garden City – we can’t lose sight of that unique branding we enjoy,” he said.

“We need to plant more trees. We need to be making 50-year/100-year decisions now, so future residents can walk and drive down magnificent tree-lined streets that further enhance our reputation as an aesthetically pleasing city.

“I applaud the foresight and anticipation of developers who are incorporating green spaces into their projects – they, with the support of council, need to leave a long-term legacy for future residents.”

With major building works scattered throughout the city, Mr Snow points to the ongoing development of retirement villas as an example of Toowoomba’s forward planning to best cater for a growing, and ageing, population.

“I think the amenities that have been created (and are currently under construction) are wonderful additions to the area,” he said.

“Many are individual homes in their own right, yet they come with incredible communal services and facilities.

“The comforts of home are there. Their friends are there. It’s a very attractive option for our older residents.”

Real estate slowdowns come and go and Mr Snow saw an inevitable growth in the region – citing the popularity of the Blue Mountain Heights area and Highfields as great examples.

“We’re expanding north and south – Toowoomba itself is expanding and we, as a community, need to have a discussion about the city we want to become,” he said.

“There’s been gentrification in Harlaxton and I feel areas like Westbrook will also blossom but we need quality public transport to support these population increases.

“That’s where council can play its part by making these communities more integrated through infrastructure and well-planned (and released) land developments.”