The message is clear, the Brisbane property market is hot and showing no signs of slowing down. Coming into the Christmas season, with stock levels plummeting, borders reopening, and more people seeking a northerly sea-change, the window of opportunity to secure an affordable apartment before the anticipated growth is closing fast. Economists are predicting property and rental prices to continue to rise from 2022 onwards, with further acceleration in the lead up to the 2032 Olympic Games. Brisbane property prices are forecast to surge a further 20% over the coming year, emphasising the time crunch for those looking to enter the market before it skyrockets.
Low Stock Levels
Brisbane is the only Australian capital city that recorded a downturn in new listings last month, highlighting the level of competition currently at play. Compared to this time last year, stock is down 30%, and with buyer activity at peak levels, the next few months will be an unprecedented time for the Brisbane property market. A traditionally busy period for real estate, this time of year sees buyers and sellers looking to be settled in their new homes with a Christmas deadline. Between the dwindling number of apartments being completed, investors purchasing property sight-unseen and owners holding onto their properties awaiting further growth, the Brisbane unit market will continue to tighten.
Further fuelling the property market surge, the most recent data saw Queensland with the highest level of interstate migration of all the Australian States. COVID-19 lockdowns, affordability and lifestyle are among the reasons behind the trend, with majority of migrants coming from New South Whales and Victoria. The likelihood of the borders reopening as we edge closer to the end of the year is escalating the urgency to secure a property in the interim, with Brisbane’s population estimated to reach three million by 2030.
Dubbed the ‘supersonic’ boom, property prices have risen almost 11 times faster than wages over the past year, pushing many first-home buyers out of the housing market. Recording an annual growth rate just shy of 20%, the Brisbane property market has not seen a price jump this significant since the 1980’s. The Brisbane apartment market is also showing positive signs of growth whilst still producing attractive rental yields for investors, increasing 1.3% to a 5.83% over the last quarter. The inevitable rise in property prices will see an already busy time of year intensified as buyers scramble to secure their slice of Brisbane before the next boom.