Flood disaster divides results for brisbane property investors

The recent flooding disaster in Brisbane has divided local property market investors, with some scoring and others suffering enormous loss, according to leading Brisbane Property Investment Consultants, Grow Consulting Group.

Managing Director of Grow Consulting Group, Ayda Shabanzadeh, said investors whose properties were damaged during the flood should ensure, first and foremost, that they take pictures of flood damage and their clean-up efforts.

"Photographs are extremely helpful in documenting flood damage for insurance purposes. Keep good records, including how much of your personal time was spent on debris removal and cleanup."

According to Ms Shabanzadeh, investors who had property that suffered damage should revisit their cash flow as soon as possible and limit their expenses to get through this period, until their investment is liveable again.

"Most major banks have announced they will be providing relief for people affected by floods, with some offering up to three months of frozen payments, and discounts on personal loans," she said.

Ms Shabanzadeh thought that some investors who were forced to re-build would consider raising their property.

She said that those investors who were not adversely affected may find themselves in a superior position than before the flood, with regard to the value of their investment and demand for it.

"A lot of people who are displaced due to flood damage to their primary residence will now need to look at renting another home while repairs are being carried out. We have been inundated with calls from people looking for property to rent. This increased demand will place upward pressure on rent prices too, and therefore benefit property investors."

Ms Shabanzadeh said that all property owners who were not affected should use photos and flood maps from this flood when it comes time to re-sell or rent their property.

"Brisbane City Council flood maps show some properties under the flood line based on data from 1974, and these properties weren't affected this time around, so make sure you obtain evidence of this," she said.

According to Ms Shabanzadeh, the months to follow are expected to provide great opportunities to purchase property in flood affected areas, including on the river, for comparatively cheaper prices.

"Investors can choose to hold and sell, renovate and sell, or development, but they need to proceed with caution, as properties in flood prone areas can be sometimes be difficult to obtain approvals for building and also loan applications."

 Ms Shabanzadeh said that all investors, whether they were affected or not, should be taking the time to re-visit their insurance policy to ensure they have adequate flood cover and also insurance for loss of rental income.

"Property buyers should always check with their local council whether their property has a risk of flooding prior to purchase."

As investors themselves, Grow Consulting Group are passionate Property Investment Consultants, who assist their clients by sharing their expertise and knowledge, and offering services in three core business areas - finance, property investment and property management.  An intricate understanding of the property market in South-East Queensland and its changing dynamics, together with partnerships with experts including real estate agents, developers, accountants, quantity surveyors, insurance consultants ensure an exceptional service is provided to time-poor investors.