Is Brisbane the world’s fastest Indian?
Do you remember The World's Fastest Indian? The 2006 film told the real-life story of Burt Munro (played by Anthony Hopkins), a New Zealander who quietly built a motorcycle with record-breaking speeds from his garage at home. While you can't build widespread value growth in your tool shed, it does look like Brisbane has quietly emerged as a forerunner when it comes to capital gains.
Hitting the accelerator
In a March 1 article, CoreLogic RP Data's head of research Tim Lawless picked apart the value growth in homes all across the country. Sydney is slowing down and has emerged as the only capital city in the country where values dropped over the last three months.
Brisbane, meanwhile, saw capital growth of 2 per cent over the same time period, and 1.8 per cent in February alone! With annual increases in values now rising faster than they have in a year, it looks like we're picking up the pace. It's sure to be a tantalising prospect for investors. After a long period of tinkering and toiling, Brisbane's engines are starting to roar.
But will we run out of gas?
One concern with rising capital gains is that they'll peter out quickly. However, with Sydney slowing down and Melbourne likely to follow, people are sure to continue flocking to the capital city for their investment property for some time yet.
Brisbane would be the only capital city to experience growth through to June 2018.
After all, it's much more affordable to buy real estate here than it is in our east coast counterparts, not to mention we're picking up the pace. A BIS Shrapnel report from last year predicted that in real terms, Brisbane would be the only capital city to experience growth through to June 2018.
We might have less than half the population of Sydney or Melbourne, but it certainly looks like we're punching above our weight – mirroring the antics of Burt Munro to a T.
Get into gear with wealth creation
While property investment isn't your only option for wealth creation, with figures like these it looks like it's definitely one to watch for the coming years. As a relatively safe investment with good growth prospects, it's safe to say people are already eyeing up and buying up across the Sunshine State.
If you want to come along for the ride, make sure to get in touch with the team at Think Money. We specialise in helping people shape an investment strategy tailored to them, which can see your capital gains hit high speeds in the years to come.