House prices surge but some homeowners face having to sell up
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
News.com.au
an hour ago
- News.com.au
$20m upgrade for TAC HQ targets working parents, access, inclusion
A school zone for working parents to bring their children before and after school is one of the new features a planned $20m upgrade will deliver for workers at Transport Accident Commission's Geelong headquarters. The property's owner, listed $20B real estate funds manager Centuria Capital Group, plans to refurbish the 60 Brougham St building, delivering a suite of new facilities to encourage people into the office, improve its environmental credentials and hopefully win a new lease after 2029. The additions include a gymnasium with an indoor sauna, a cold recovery room and multipurpose room for pilates or yoga; and end-of-trip facilities such as showers, 180 lockers and parking for 80 bicycles. Gender-neutral toilets, a multi-faith room for reflection or prayer, multiple parents rooms with private spaces including microwaves, changing areas, wet areas and various forms of seating are designed to foster inclusion, while the school zone will be fitted with televisions, reading areas and desks. The refurbishment will upgrade the 16-year-old facade by removing panel cladding and coloured boxes around windows; install a new entrance lobby, upgrade bathroom facilities on each floor, including new dedicating facilities for people with a disability; and add a ground floor business hub and meeting areas. The dormant Corio St retail precinct will have new landscaping, seating and decking, while community gardens and event spaces will maximise other outdoor spaces, including barbecue facilities on the refreshed level five balcony. Head of funds management Jesse Curtis said Centuria wants to make the building 'best in class' and bring 'Park Hyatt luxury to Geelong', with full electrification and targeting a minimum 5.5-star NABERS rating, a 6-star Green Star rating and a WELL Gold rating. 'We've had numerous examples where we've been able to refurbish buildings and retain tenants, and they've been extremely happy and occupied our buildings for a very long period of time,' Mr Curtis said. The upgrade was planned for the past five years ago, but was delayed by Covid, he said. The refurbishment comes as the TAC considers its next building lease in Geelong when its current lease expires in 2029. While remaining at 60 Brougham St is one option, there's still competition including from approved multistorey office projects within Geelong's CBD. Centuria has a $7B office portfolio across Australia and New Zealand, which focuses on suburban and campus-style buildings, such as the TAC headquarters. The new spaces at TAC are part of a reworking of the building's floorplates to improve efficiency. 'What we've seen across our portfolio – this is probably more general than specific to TAC – is people's use of space is changing,' Mr Curtis said. 'People aren't necessarily taking less space, they're just changing the way they use the space. 'So where we can create a one-stop shop, where you have a gym and different outdoor areas, communal spaces and the ability to collaborate in different ways, or bring that family and home life to be a little more flexible, we're starting to change the way we use our buildings right across our portfolio.' The project is still in planning phase, but work is expected to start in the second half of 2025. 'We're anticipating minimum disruption to our occupied during that period.'
News.com.au
an hour ago
- News.com.au
Why saving for a new house in 2025 might not be enough
Homeowners Alyce Stimpson and Adam Hong spent years saving up and investing to get their new home – and with Brisbane's prices spiking, they're not sure they would be able to get into the market otherwise. 'If we started from scratch, I don't know how we'd have been able to afford this, because it's so expensive,' Ms Stimpson said. 'I feel like because we got into the real estate market quite a few years ago with investments, and we sold those before this, that's the only way we could.' The family's concerns come off the heels of Brisbane entering the million-dollar market, with the city's median house price having now hit $1.015 million. PropTrack's latest Home Price Index released this week showed Queensland's houses and units jumped by the equivalent of an average annual salary ($74,800) in the past 12 months. Across Brisbane, the median price for all properties still remains at $908,000, when also accounting for unit prices. Ms Stimpson and Mr Hong just finished building their new property in the Sunshine Coast, with Queensland builder Creation Homes. The company recently partnered with brokerage firm Resolve Finance to combine builds and loans under one service, in order to help homeowners save costs. 'Having both finance and build in a one-stop shop [would] take away so much of the guesswork and make the whole process even easier,' she said. 'We've sold pretty much everything to get this house, and feel a bit more comfortable, and this'll be our home for quite a while.' Creation Homes' Queensland general manager, Peter Ryan, said the milestone reflected both Brisbane's 'rapid growth, and the ongoing demand for housing'. 'It signals confidence in the market but also highlights the affordability challenges facing many Queenslanders,' he said. Mr Ryan added Creation Homes' land and build options were designed for homeowners still seeking residences under the million dollar mark. 'New builds offer real advantages, particularly in a market like this,' he said. 'Not only do you get the benefit of modern design and energy efficiency, but you may also qualify for government incentives such as the First Home Owner Grant and stamp duty concessions, which aren't available when buying established homes over certain price points.' With Ms Stimpson's family recently back from holiday, the homeowner said she worried new financial pressures would affect what the four would do in the future. 'We saved up. It won't be another holiday for a while,' she said. 'I'd say get into the market as soon as you can before it goes sky high.'
News.com.au
2 hours ago
- News.com.au
What to consider when you are planning to build a granny flat
Whether you're looking to house elderly parents, earn income from your own backyard or increase the yield on an existing investment property, building a granny flat is an attractive option. But there are several things to consider before you start contacting builders and comparing quotes. WHAT ARE YOU TRYING TO ACHIEVE? PIPA board director and managing director of the ASPIRE Property Advisor Network Richard Crabb says when it comes to planning granny flats 'the devil is in the detail.' While it can be a great way of earning rental income, from an investment perspective, it might not be the best choice depending on the person's strategy and where they sit on their financial journey, he says. He suggests people consider their strategy first before assessing the planning considerations and site feasibility. 'Every council has its own rules.' he says. 'Some allow granny flats as a right on R2 zoned blocks but others also require a DA approval. It's very important to get the right advice.' INVESTMENT CONSIDERATIONS Build quality and design is another thing to consider, especially if you are planning on renting out the property, he says. 'The next bit is really delving into the financial and investment perspective,' he says. 'Granny flats can significantly boost rental yield, especially in the metro fringe, in those growth corridors where there's that rental shortage and housing demand. 'But it might not necessarily increase the capital value of the property proportional to the costs. The capital value isn't going to increase in line with what they spend, necessarily.' This is why strategy is so important, he says. If you are only building a granny flat as an investor to increase rent and you are doing so in an area where you aren't likely to see any capital gains from the outlay of cash, there could be better ways to maximise your investment. 'They could be better off going and buying another completely brand new property separately and using that (money) as a deposit,' he says. 'Rather than trying to overcapitalise on an existing asset that might not get the returns.' On the other hand, says Propell Property managing director Michael Pell, granny flats can be a very useful investing strategy for those with existing properties who can't take on a 30 year mortgage in order to generate a passive income. It may suit older couples who may not have the income to service a loan for an investment property but do have a backyard they don't use anymore. 'The costs are relatively minimal to be able to create an extra $500, $600, $700 – $800 a week in rent,' he says. 'You're talking about a $700,000-$800,000 purchase versus a $100,000-$200,000.' BUILDING CONSIDERATIONS Hipages trade Martin Nguyen from Kubra Building Services says it's important to consider both the size of the block and the site conditions, including soil type, slope, and access, before planning a granny flat. While minimum land size varies across states, you generally need to have a block size of at least 450 sqm, he says. hipages cost guides put the average granny flat between $80,000 and $160,000. 'However, if you're after an incredibly high-end finish with top-of-the-line materials and prices, you can expect this to increase,' he says. 'Keep in mind that these costs don't just include the physical build. Preparation of the site, choice of materials, permits and compliance are all items you'll need to factor into your budget.' 'Unfortunately, not all properties are suited for a granny flat. 'If the site has challenging terrain, poor access, or protected vegetation, homeowners may face higher preparation costs or even building restrictions.' When it comes to the build, time frames can vary, but generally it takes three to four months for council approvals to go through and another three to four months at a minimum for construction to be completed, he says. 'Site preparation, the complexity of the build, and how quickly approvals are granted will all impact the timeline of a build,' he adds. 'However, conversions of existing garages or sheds may be completed faster.' GRANNY FLAT CHECKLIST Consider these things when researching the viability of a granny flat. * Your strategy – why are you doing this? Is it to house relatives or to make money? Is there a better way of investing? Seek advice from the experts * Council requirements – what planning restrictions are in place? Check with your local council * Site feasibility – is your land big enough? How will you divide it? Are there easements or slopes? * Financial considerations – how much will it cost? How much can you afford? Should you invest in better quality to attract tenants? Should you buy a prefab home? * Market conditions – what demand is there for rentals? How much rent will you likely earn? If you are housing relatives, will you rent it in the future? If you plan on selling it in the future, will it add to the value or detract from it?
