As a result of the world-wide global recession, we have seen a trend where children tend to stay in the nest with their parents longer. The State Treasurer of Queensland, Andrew Fraser announced in January 2012 that studies were showing that many families had children as old as thirty staying with them in order to save money. However, in the next twenty years, it is predicted that this group of nesters are finally going to leave as the economy improves and also because it is evident that one can not be supported by their parents their entire lives.
When these older children finally get out of the nest it is predicted that two things will happen to boost the building boom in Queensland. First of all, new homes will be needed to be built for the children leaving and their families. As there is a shortage of affordable, large-enough housing in Australia there is going to be a real demand for investment in family homes, especially those with pools and good schools nearby.
Secondly the parents of these children are also likely to sell their larger homes and move into smaller nests that are more appropriate for their space needs and that help them free up their income for recreational pursuits, second businesses and recreational activities.
In general it is projected that the number of households with children in Queensland was set to fall 3% between the years 2006 and 2031 just creating a need in the market for empty nester smaller housing.
It is also well known that Queensland, especially the Gold Coast, has a bit of a housing shortage with many areas having a less than 2% vacancy rate. This means that within a day or two of the ad appearing online or in the paper, the opportunity to rent disappears! Most places for rent in Surfers Paradise are only available show for ten days or much less. In January 2012, a two-bedroom apartment in Brisbane was going for the high rent of $ 380 a week. In January, Rockhampton, rents climbed 9% and Mackay 10%. In Gladstone the median rent jumped $ 46% which means it now costs $ 480 a week to rent a three bedroom house.
As a response to this need for more housing fast, the Premier Anna Bligh announced that simplifying the paperwork associated with applying for building permits and contracts will be reduced from six pages to one. This will rid the industry of unnecessary complications and make it easier to buy and sell a home. The fact that there is such demand, that there are subsidies for builders and that there is no red tape to snarl up the process makes investing in building in Queensland a great proposition.