How mum and dad investors can ease the housing crisis

A Queensland developer who has helped 2000 people build new homes for over 5000 tenants says more can be done to allow mum and dad investors to beat the housing crisis.

Propell Property managing director Michael Pell and wife Karen are among mum and dad investors who are creating homes across Queensland for tenants. Picture: Nigel Hallett

A Queensland developer who has helped 2000 people build new homes for over 5000 tenants says more can be done to allow mum and dad investors to beat the housing crisis.

Propell Property managing director Michael Pell said in-fill development by everyday investors “has a role to play in the rental crisis by creating new dwellings in locations where tenants actually want to live”.

“For this to happen, we need councils and local residents to also recognise that select in-fill developments or new housing on subdivided blocks will not ruin the character of their suburb but, rather, create rental homes for our young people now and into the future.”

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Propell Property managing director Michael Pell and wife Karen have bought 6, 7, & 9 Milan Court in Surfers Paradise for a new 30 home development amid massive demand in the suburb. Picture: Nigel Hallett

Mr Pell and his wife Karen have their own in-fill development on the Gold Coast currently underway, demolishing three houses to build 30 – which will bring to over 130 the number of properties they have personally created.

He warned that the Federal Government’s plan to build 1.2 million properties in five years “will be very difficult to practically achieve, however, at least policymakers are now recognising that supply is the answer, and it is private investors who have long been doing the heavy-lifting in this regard for decades”.

“If those policymakers seize this opportunity and embrace ways to incentivise investors toward creating new in-fill housing, it would go a long way toward easing the burden on tenants.”

“Whether it’s a duplex development in a major regional area or a knockdown and rebuild in one of our capital cities, the fundamentals remain very strong for those investors with a little more experience under their belts.”

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Propell Property managing director Michael Pell and wife Karen have developed homes for 100 tenants personally already with 30 more to go into the Gold Coast soon. Picture: Nigel Hallett

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Mr Pell said “the budget sweet spot is above $1.5m as this would allow investors to construct a single dwelling or a possible duplex development in council areas such as Ipswich in Greater Brisbane, Wanneroo in Perth, Gawler in Adelaide, and Coffs Harbour on the mid north coast of New South Wales”.

“Investors with higher budgets could look at developments such as duplexes in these and other council areas, such as Redland and Moreton Bay in Brisbane, Swan and Mundaring in Perth, Playford in Adelaide, and Port Macquarie-Hastings on the mid north coast of New South Wales.”

Mr Pell said now was a prime time to incentivise in-fill development in areas seeing massive demand to help alleviate the rental crisis.

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