Intro/Outro: 0:08

Welcome to the NDIS property Australia podcast. Before starting this episode, we need to provide a general disclaimer. information contained in this podcast is general in nature only. It does not take into account the objectives, financial situation or needs of any particular person. You need to consider your financial situation and needs before making any decisions based on the information in this podcast. And you should consider seeking independent and professional advice for your personal circumstances. All right, let's begin.

Eryn Kosian: 0:42

Hi, everyone, I hope everyone's doing all right. I'm Eryn, and I'm one of the staff at NDIS Property Australia. I'm here today with Matt from the office and we're going to do a special episode about stock supply for land around Australia for the NDIS. Tell us a bit about yourself,

Matthew Roles: 0:57

Yeah. So my name's Matthew, I'm one of our Matt. investor relationships managers here at NDIS Property Australia. So it's my job to handle customer inquiries and working with investors to find the right NDIS property to meet their needs and their circumstances. So just a quick update to where we're at in terms of the current stock and pipeline expected for the coming months. It's been an incredible tough start to the year, as stock levels remain extremely tight and registrations have been blown out further than expected, which is leading to very long completion times. So this is relevant to all stock all around Australia, both NDIS and non NDIS stock for investors.

Eryn Kosian: 1:43

So what do you think like some of the causes of tight stock levels and the blowing out of registrations and everything like that has been?

Matthew Roles: 1:51

So I think the building industry is is still very challenged with the price rises for both land prices and construction, construction costs. We've seen this easing compared to last year, I feel like the end of last year, there was particularly presented particular difficulties and unforeseen price rises.

Eryn Kosian: 2:12

Do you think that would be like in terms of COVID? And everything?

Matthew Roles: 2:15

Absolutely. Yep. Yep. So developers, I feel like are still in favour of selling to owner occupiers. And we believe this is will continue to be as as it is, at the moment for the immediate future. And in the coming say, three to six months before we start to see kind of more investors returning and more allocations available in terms of land for investors. So our view is that around May and June, we might see a decline in homebuyers, particularly people say, if you're investing in Queensland who might be investing up north or buying a, you know, a new house if they're if they're relocating due to COVID. So in that, when that occurs, there'll be obviously more land and more choice available and larger allocations for investors.

Eryn Kosian: 3:02

Where do you see like the most, for lack of better word popular areas like would be for investing?

Matthew Roles: 3:08

Yeah, at the moment, I'd say Townsville, Mackay, Toowoomba, Melbourne, and Perth all stand out to me as being very hot markets for NDIS properties. But yeah, in the case that you can't find land in these areas, or just where you do want to invest. My My suggestion is to try to secure land directly from land developers, or look for blocks of land that are in the marketplace, and the areas that you're hoping to invest in for the NDIS. And obviously, you can bring that land over to us and we can package up an SDA home that suits the demand in that area, and the block itself, what can be built on that block. So we've had over 100 EOIs over the last, that's an expression of interest for anyone who's wondering out there, over, over the last 12 months, we've had, we've had about 100 expression of interests on behalf of our clients, for investors, and about 65% of them have actually gone down that path of eventually buying, building a house on a block they had building an NDIS house. So that is a very viable strategy to enter the NDIS property market snd another option also to consider is the knock down rebuild approach.

Eryn Kosian: 4:19

Just to clarify what is exactly the knock down rebuild approach?

Matthew Roles: 4:24

So that's essentially where you would, you'd have a block of land with maybe an existing old house on it, and you'd simply knock it down and you'd build a new NDIS property which delivers far superior incomes. So that would be the goal there. And that's an effective means to build an SDA property in a high demand area, particularly if there's low supply of land in the area, being able to choose the right location without limits on land releases, because the land release times and registrations have been blowing out as Eryn mentioned earlier, so being able to do that, obviously, you know, that can give you some kind of first mover advantage and allows you to enter the market

Eryn Kosian: 5:02

Because what is the current registration time is what like, three to six?

Matthew Roles: 5:06

Yes, it'd be about three to six months, yeah. And then BA for another month. And that, that time, kind of that spent even outside of the build time can be long for a lot of investors.

Eryn Kosian: 5:18

So how should investors go about or like, what would be the best route for like registering and securing land.

Matthew Roles: 5:26

So I would say that, generally, it would be best to do to register with the developer, and to go on a waiting list for land lots and to purchase, because most of our most of our builders will have land which becomes available. So obviously, in new new estates, that sort of thing. And you can obviously be ahead of the game and find out exactly when that land becomes available. So we do have some stock in some regional areas, like in Queensland and Victoria, which we would suggest that potential buyers have a look at, because there'll be a lot of regional opportunities coming up soon, and particularly in New South Wales and Victoria. In a month or so I feel like given the current market, there'll be a lot of opportunities for new land in those areas.

Eryn Kosian: 6:12

Do you mean like in the current market being that those areas are growing? They're expanding? Like they're becoming more?

Matthew Roles: 6:17

Absolutely, absolutely, yep. Yep. So the growth in those areas is enormous. And it's showing no signs of slowing at this point. So there's a lot of infrastructure development, there's employment, there's, obviously lifestyle, options are coming into those areas. And there's affordability, which are obviously key factors in those areas, which are driving growth. So these all sound extremely good, but they're good from a non NDIS perspective as well. So this is a this is a good indicator, obviously to a property investor in terms of potential growth for these areas, and potential opportunities for NDIS investments.

Eryn Kosian: 6:56

So in terms of we obviously touched on, like the current stock and everything and how there's a lot of restrictions going on, with more and more people moving from places like Sydney and Melbourne and like more places down the southern side of Australia, they're moving up to Queensland, what do you think this would say, what do you think this means for the property market in Queensland?

Matthew Roles: 7:16

As I touched on before, there's just, you know, obviously, there's gonna be a housing shortage, and it's real, it's here to stay, and our population is growing faster due to, obviously, you know, we're not building as fast as we were pre COVID, there's going to be shortages, and we're, our population is growing at this stage faster than we can develop property. So with interstate migration being the main reason to date, and it's only kind of property market in Queensland, it's looking like it's prep for a prolonged shortage of housing for many years to come.

Eryn Kosian: 7:49

Yeah. Okay.

Matthew Roles: 7:50

So covered with obviously, international migration, which is set to, you know, obviously, start up again soon. And student visas, you know, the fundamentals, I suppose, for investing in both the NDIS and the regular property market in Queensland have never been better.

Eryn Kosian: 8:06

Actually, I'm pretty sure they're opening up the borders to international students, again, starting from this semester, which is next week, semester one starts next week, so yep, yeah, absolutely. A lot of international people are definitely gonna be coming back. Thanks, Matt. It was very detailed summary of, you know, the state of play with SDAhousing opportunities and where we are and what we're working on in the office, just remember that we are continually working on two or three new episodes of our podcast every week. So be sure to tune in and listen, I think we're releasing one every week or something like that. And we got, we're gonna have different speakers, different topics. And if any of our listeners would like us to cover like a particular topic that maybe we haven't touched on, or you're just wanting more information on, we'd be keen to hear that in your feedback so we can make this podcast more interesting, more engaging for everyone to listen to.

Matthew Roles: 8:52

Awesome. Thanks, Eryn.

Eryn Kosian: 8:53

Thank you.

Intro/Outro: 8:54

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