While the Reserve Bank’s decision to drop interest rates to a record low on Tuesday of this week surprised many it was certainly welcomed by regional QLD and no doubt regional Australia.  This is just another piece of the recovery puzzle that is falling into place for the Townsville real estate market that is long overdue to kick back into gear.  With talk of a further drop or possibly two by Christmas this is a very tempting recipe for those investors looking for both yield and also an odds-on bet for a short-term capital gain in residential property.  Townsville is definitely high on the watch list for some and action list for other savvy investors and I know this for a fact with one investor buying a home off me just a few weeks ago now which was their 10th purchase in Townsville alone in 2019.  It is this external interest in our property market that will eventually drive up demand and put pressure on local buyers which in turn will lead to price growth, something we have not seen for far too long now.  Whilst I may sound like a positive thinking tragic you can be assured the writing is on the wall for Townsville to begin the next phase of our property cycle as we are already seeing homes in that “trade-up” bracket say $600,000’s to $1,000,000 range starting to move again as locals and new arrivals to town alike can’t resist the temptation to lock in a great interest rate and upgrade their living standards.  This next 6 months is going to be particularly interesting in the Townsville real estate market so watch this space and if buying is your next move you couldn’t have timed it better but don’t wait too long before jumping in!

By Damien Keyes

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