Prices in Redcliffe are tipped to take off on the back of major infrastructure spending

Property prices are tipped to take off in Redcliffe on the back of major infrastructure spending.

Property analyst Terry Ryder has named the area in his top five list of areas where property values will benefit from spending on major infrastructure projects.

Infrastructure development is the most powerful creator of capital growth in real estate,? he said.

Arguably the most powerful is transport infrastructure. The three Rs of real estate ? road, rail links and river crossings ? can transform the appeal of a location by improving accessibility.

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The Redcliffe Peninsula north of Brisbane is third on his list.

Mr Ryder said while it may be geographically close to Brisbane it had suffered for years from transport links that did not keep pace with demand.

A long promised electric rail connection from Petrie to Kippa-Ring is now under construction and on schedule for completion in 2016,? he said.

He said many suburbs in Redcliffe already had good rental yields because of low vacancies ? about 4.5 per cent to 5.5 per cent for houses and 4.8 per cent to 5.4 per cent of units.

After 40 or 50 years of speculation and on again off again projects ? every election campaign it was dredged up ? but now (the rail link) is actually physically under construction, people can buy in the affected areas with confidence,? he said.

Mr Ryder said a many buyers didnt show any foresight when it cames to buying or investing in real estate.

The smartest time to buy in relation to big infrastructure is when they actually hit the go button, then you can be certain,? he said.

It is risky to buy on the announcement because a lot of political announcements dont come to fruition.

The smart time to be is when you can actually see the sod turning and get ahead of the pack that tends to wait until it is finished.?

Other areas in his top five are Liverpool and Camden in New South Wales, Sunshine Precinct and Bendigo in Victoria.

Source: The Daily Telegraph