A surge in interstate migration to South East Queensland is driving a spike in property sales and growth in demand for home loan applications, says a leading Queensland finance brokerage.
Brisbane-based Borro’s owner Cara Giovinazzo said pre-approval requests from property buyers were “going through the roof” with many real estate agents requesting written evidence of financial capacity before accepting offers.
Ms Giovinazzo, whose office is based in the Logan region south of Brisbane, said many local buyers were missing out on properties due to better offers from recently relocated people from NSW and Victoria.
“Local buyers are constantly missing out on homes even after offering above the market value,” she said.
“Many of them are reporting that their offers are usually beaten by interstate buyers.”
Recent data released by the Australian Bureau of Statistics showed that in the September quarter last year, Brisbane was the capital city that gained the most from net internal migration with 3200 people moving to the Sunshine State.
Ms Giovinazzo said a relaxation of assessment rates by banks had also aided the boost in loan applications and property sales.
“Our clients are able to borrow more than they could a year ago,” she said.
“We are also seeing that many more people are selling to cash in on their own equity increase. But they have to buy again so it’s driving turnover in properties and adding more buyers to the pool.”
The strength of the current demand for property was highlighted by the recent sale of a five-bedroom home at Shailer Park in Logan through the Mark Coleman Team of REMAX Revolution Shailer Park.
“Despite the home ticking so many boxes, we still did not anticipate having somewhere in the vicinity of 200 people through our first open home at this Parker Street, Shailer Park, property,” said agent Mark Coleman. “Lines literally snaked right down the street, buyers themselves could not believe the spectacle. Needless to say, the home sold after that first open home.”
Ms Giovinazzo said borro, which is the new name for what was CGIO Finance, has the technology to compare all loans across a large panel of more than 50 lenders for buyers keen to get into the property market.
“We are able to combine finance types, for example, home loans and personal loans, to deliver outcomes for our clients that put them in a better position and save them money,” she said.
“This would not have been achieved if we only had access to home loan finance only. By having a broader knowledge of how different loan types can complement each other, we can help deliver better outcomes. We have a range of options to help our clients ‘borro’ money for most purposes.”
Further inquiries: Cara Giovinazzo m: 0409 463 850 p. 1300 1 BORRO