Looking Forward in 2008 with Graeme Ingles

The year of 2008 is shaping up to be a tumultuous time.   

The sharemarket is tipped to be shaky, interest rates are tipped to rise and there is a new Government in power in Canberra . For Queenslanders, that uncertainty is added to with Queensland councils going to the polls in March. But on the flip side, the economy is forecast to have another cracking year, the resources boom looks set to roll and property analysts such as Prodap are predicting another property boom within 18 months. It certainly looks like is in for a rollercoaster ride during the next 12 months.

In our home state of Queensland , the Ingles Group expects property prices to rise, although big gains in value will be patchy. However, most areas can expect steady although not extraordinary price growth. In Queensland, we believe the port city of Gladstone will be one of the areas enjoying the biggest price rises.  

Gladstone is emerging as an economic powerhouse on the back of the resources boom and a raft of heavy industries. These include two alumina refineries, aluminium smelting, the largest cement factory in , heavy chemical industries such as the Orica chemical plant.  Its proximity to large mining centres and its facilities, including Queensland ’s largest multi-purpose port, has almost guaranteed the city’s economic future.  The region is now attracting quality housing for an ever increasing supply of young workers and a growing permanent population. Ingles Group sold almost all the available land in our two Gladstone projects last year and we are looking for more opportunities in the region.  

To the south, the Gold Coast is also another region we expect to perform strongly. Whether it is the climate, the sun, the surf, the beaches or the booming economy, people are continuing to flock to the region.  The region’s amazing population growth and tight property supply has led to consistently strong price rises for the past seven years. We don’t expect that to change.   

As we predicted last year, we believe the northern growth corridor between the Gold Coast and Brisbane will continue to fuel the area’s growth.  Plans for giant town centre at Coomera, the shortage of good quality development land on the Gold Coast and the South East Queensland Regional Plan are driving the push north. Ingles Group, with four planned projects in the growth corridor, is well positioned to meet some of the demand for new communities.   

The third region in Queensland that we believe will enjoy good growth in property prices is Ipswich . Voted the world’s most liveable place for cities with populations of between 75,000 and 200,000, Ipswich continues to grow from strength to strength. And, whilst properties in some areas of Queensland are starting to look expensive for investment purposes, the suburbs around Ipswich are still among the most affordable in South East Queensland.   

We wish you all the best with property decisions in 2008. Good luck and happy hunting.