Agent warns rents will rise, investors will sell
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Has the Southern Downs Regional Council's latest hefty rates rise turned investors away from Warwick?
This poll ended on 10 August 2015.
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Yes
82%
No
17%
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RATE rises on the Southern Downs aren't proportionate and are hurting investors, according to real estate agent Helen Harm.
The Warwick businesswoman is forecasting rents to jump by at least $10 a week, and said the balance between rents and house prices was changing.
Mrs Harm said on average rates had jumped $300 this year and investors were feeling the pressure.
"That equates to an extra $6 a week for investors, not taking into account higher insurance fees as a result of the floods," she said.
"Investors on restricted budgets are going to be left with no option but to put up rents or fall flat on their back. I've had several investors who have put their property on the market already."
The agent pointed to recent sales figures that showed rents were outstripping the value of houses.
"One house I sold recently for $330,000 but was rented at $360 per week, another sold for $320,000 and was rented for $350," she said.
"Investors are using rates as a bargaining tool to bring down the price of property."
Mrs Harm is calling for the community to take more charge of the council.
"There has to be more active community involvement in decision-making," she said.
"We need to really look at the people we have in the council and we need to look at the capabilities of the people saying they will run."
The frustrated real estate agent had one message for the council.
"You can't chop the head off the goose laying the golden eggs," she said.