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Third Quarter │2012

MARSDEN/ CRESTMEAD Property Watch®

PRDnationwide Marsden, Marsden Park

MARKET INDICATORS

Change from Last Year Half Year

HOUSE SALES

HOUSE MEDIAN

HOUSE RENTS

LAND SALES

LAND MEDIAN

The indicators depicted above are based on the year

ending April 2012, except for aggregate rental

indicators which reflect quarterly data up to June 2012.

MARSDEN/ CRESTMEAD MARKET OVERVIEW

The following Property Watch report is the result of an investigation into the

historic and current market trends of the Marsden and Crestmead suburbs,

hereon referred to as the Marsden Area.

During the six months to April 2012, the Marsden Area house market registered a

total of 120 transactions, representing a 17.2 per cent decrease in activity from

the April 2011 half year period. Observing the Marsden Area House Sales Cycle

chart, the house market has demonstrated a gradual decrease in sales activity

since the stimulus driven market of 2009, where government incentives and low

interest rates combined to underprop the market from the collapse experienced in

2008 following the Global Financial Crisis (GFC). Developer activity has since

revised back to a lesser extent; however there are still several subdivision

projects currently underway in the area which will look to bring new stock to the

market during 2012.

The median house price continues to soften in the Marsden Area, with a modest

5.8 per cent correction over the year to April 2012 resulting in a median price of

$295,000. The long term the median price trend has performed comparatively

against other markets in the South East Queensland region, recording a 2.9 per

cent average annual growth over the past five years. The rather buoyed median

price can be attributed largely to the affordability of the market, with very little

movement for values to correct any further. The House Price Points chart

indicates a considerable increase in activity within the sub $300,000 market over

the past three years, with softened property values shifting activity downward

from the once dominant $300,000 to $349,999 price range. Furthermore,

consecutive interest rate cuts since November 2011 (on hold at 3.5 per cent as at

August 2012) appears to have made little impact on current sales volumes.

MARSDEN AREA HOUSE SALES CYCLE

Prepared by PRDnationwide Research. Source: PDS

$295,000

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

0

100

200

300

400

500

600

700

200

2 A

PR

200

2 O

CT

200

3 A

PR

200

3 O

CT

200

4 A

PR

200

4 O

CT

200

5 A

PR

200

5 O

CT

200

6 A

PR

200

6 O

CT

2007

AP

R

200

7 O

CT

200

8 A

PR

200

8 O

CT

200

9 A

PR

200

9 O

CT

201

0 A

PR

201

0 O

CT

201

1 A

PR

201

1 O

CT

201

2 A

PR

Me

dia

n s

ale

pri

ce

Nu

mb

er

of

sa

les

Half year period

Number of sales

Median

Prepared by PRDnationwide Research. Source: PDS, ABS, Residential Tenancy Authority. PRDnationwide does not give any warranty in relation to the accuracy of the information contained in this report. If you intend to rely upon the information contained herein, you must take note that the information, figures and projections have been provided by various sources and have not been verified by us. We have no belief one way or the other in relation to the accuracy of such information, figures and projections. PRDnationwide will not be liable for any loss or damage resulting from any statement, figure, calculation or any other information that you rely upon that is contained in the material. Prepared by PRDnationwide Research © All medians and volumes are calculated by PRDnationwide Research. Use with written permission only. All other responsibilities disclaimed. © 2012

Your home of property knowledge www.prdresearch.com.au

Research Analyst │Robert Matta P (07) 3026 3357 F (07) 3166 0457 E robertmatta@prd.com.au

PRDnationwide Marsden │Principal Ronn Nielsen P (07) 3805 3322 F (07) 3805 2112 E marsden@prd.com.au

Anecdotal evidence

highlights an

increase in buyer

enquiry since July

2012, with well-

priced property

quick to move.

HOUSE PRICE POINTS

Prepared by PRDnationwide Research. Source: PDS

MEDIAN RENTS – 4132 PC

Prepared by PRDnationwide Research. Source: RTA

Sales activity across the Marsden Area land market has diluted during the year to

April 2012 as the availability of land tightens and developer activity subsides.

Further residential growth in the immediate area is likely to be facilitated via the

Park Ridge/ Logan Reserve urban growth corridor which is earmarked to bring to

market new residential estates in the coming years. The prevailing median land

price of $198,000 indicates sustained demand for a product which is running low

in supply. Whilst there are still several small subdivision prospects in the area,

most large scale sites have already been exploited and brought to market.

MARSDEN AREA LAND SALES CYCLE

Prepared by PRDnationwide Research. Source: PDS

Investor activity across the Marsden Area property market remains low, with little

to no movement in rental price growth over the past three years and rather

modest capital appreciation as indicated by the Average Capital Growth chart,

placing a cloud over the short term growth prospects of the market. With that

being said, the availability of competitively priced property in the current market

affords many would-be property investors with an opportunity to secure a solid

entry level property to kick start their property portfolio, with sound rental yields

available to those who purchase well-presented property at the right price.

MARSDEN AREA HOUSE AVERAGE CAPITAL GROWTH

Prepared by PRDnationwide Research. Source: PDS

4%

21%

49%

17%

6%

4%

11%

20%

43%

14%

7%

5%

19%

21%

32%

16%

10%

1%

10%

42%

22%

15%

7%

3%

17%

38%

20%

13%

11%

1%

0% 20% 40% 60% 80% 100%

Less than$250,000

$250,000 to$299,999

$300,000 to$349,999

$350,000 to$399,999

$400,000 to$449,999

At least$450,000

Portion of total sales

Pri

ce p

oin

ts

2010 APR 2010 OCT 2011 APR 2011 OCT 2012 APR

$310

$360

$310

$370

$320

$365

$-

$5

0

$1

00

$1

50

$2

00

$2

50

$3

00

$3

50

$4

00

3 Bed

4 Bed

Median rent

Ho

us

e t

yp

e

2010 JUN 2011 JUN 2012 JUN

$198,000

$0

$50,000

$100,000

$150,000

$200,000

$250,000

0

20

40

60

80

100

120

140

160

180

200

2 A

PR

200

2 O

CT

200

3 A

PR

200

3 O

CT

200

4 A

PR

200

4 O

CT

200

5 A

PR

200

5 O

CT

200

6 A

PR

200

6 O

CT

200

7 A

PR

200

7 O

CT

200

8 A

PR

200

8 O

CT

200

9 A

PR

200

9 O

CT

201

0 A

PR

201

0 O

CT

201

1 A

PR

201

1 O

CT

201

2 A

PR

Med

ian

sale

pri

ce

Nu

mb

er

of

sale

s

Half year period

Number of sales

Median

0%

5%

10%

15%

20%

25%

200

2 A

PR

200

2 O

CT

200

3 A

PR

200

3 O

CT

200

4 A

PR

200

4 O

CT

200

5 A

PR

200

5 O

CT

2006

AP

R

200

6 O

CT

200

7 A

PR

200

7 O

CT

200

8 A

PR

2008

OC

T

200

9 A

PR

200

9 O

CT

201

0 A

PR

201

0 O

CT

2011

AP

R

201

1 O

CT

201

2 A

PR

Avera

ge a

nn

ual

cap

ital g

row

th r

ate

Half year period