Brookwater Bucks the Downturn, as High End Market
Starts to Stabilise
June 17, 2009
Record low interest rates and solid returns have driven demand for property in the Western Corridor's most prestigious suburb to a 12 month high.
Brookwater is the most expensive suburb west of Brisbane with a Greg Norman designed golf course and its own millionaire's row.
Sales in Brookwater over the past two months have increased 300% on sales made in February and March making it the suburbs most successful sales period this financial year.
Springfield Land Corporation Executive General Manager Communities Scott Biggs said the spike was due to a variety of factors.
"There's no doubt the region has benefitted from the Reserve Bank's decision to hold interest rates at just 3%," Mr Biggs said.
"The suburb has also showed itself to be a reliable investment. Despite the global financial crisis houses in Brookwater have continued to hold their value.
"Property information website RP Data shows the median house price in Toowong has dropped 12.7% since the start of the year. In Clayfield it's dropped by 20.2% and in Ascot it has plummeted 41.6%. Prices in Brookwater have however defied the downturn and continue to hold steady.
"As Brisbane's population continues to grow Brookwater is offering a viable alternative to residents wanting a classy address without the hassles and the traffic of inner-city living." Since Brookwater was launched in 2001, golf frontage land, on average, has appreciated in value by 278% and non-golf frontage land has more than tripled (306%).
While some commentators suggest the high end property market has been badly affected by the economic downturn Mr Biggs said several factors are working in Brookwater's favour.
"Buyers want space and the ability to design a property to suit their way of life and personality. Buying a block of land at Brookwater allows them far more freedom than they'd have purchasing an established home in inner-city Brisbane," he said.
"In addition buyers have been attracted to the unique buy-back scheme we've put in place whereby if a person buys at Brookwater and after two years their circumstances change, preventing them from continuing to live at Brookwater, we will buy their homesite back from them with a 20% premium.
"This deal gives buyers the peace of mind people need to move forward with their dream of living at Brookwater.
"We believe this is the only scheme of its type in Australia and it demonstrates the confidence we have in this great suburb."
