Brisbane home prices up $153,500 in just one year

Source: Realestate.com.au

Brisbane home prices have surged $2950 each week over the past year, with the city recording Australia’s second-biggest property jump behind Perth.

The latest PropTrack Home Price Index, out Monday, found Brisbane home prices were up $153,500, or 15.9 per cent, annually to reach $1.046m for all dwellings (houses and units).

But it was the unit market that jumped most, up 20.3 per cent to a median of $831,000.

House values hit $1.203m, up 14.7 per cent over the year.

PropTrack senior economist Eleanor Creagh said strong unit growth came down to buyers shifting towards more affordable stock.

“Unit price growth outperforming house growth on both a quarterly and annual basis in each of the strongest performing capitals makes sense when you consider these cities have had a long period of strong growth in house prices

“There does seem to be stronger demand in the more affordable price segments.

“People are being pushed to more attainable options.”

She said the Brisbane market continued to come down to supply and demand.

“Stock on market continues to be very tight.” she said.

“Strong buyer demand is facing tight supply.”

Greater Brisbane also surged over the year with double-digit home growth in all surrounding cities.

Ipswich values were up 19.7 per cent to $881,000, Logan — Beaudesert was up 19 per cent to $917,000, Toowoomba was up 18.2 per cent to $779,000, and Moreton Bay was up 17.6 per cent to $1.056m.

Interest rate hikes have not yet deterred buyers but that could change with another hike.

“One hike doesn’t affect price movements in one month, but the outlook for the market would change with more rate hikes,” Ms Creagh said

“In the period ahead, growth will be slower and more uneven if interest rise again.”

“Brisbane is the growth market and slowly going outwards but the big stories are the premium market.” 

Buyers were turning to Greater Brisbane cities including Ipswich and Logan for more affordable options.

“With the 2032 Olympics and the Sunshine and Gold coasts benefiting Brisbane as a whole, the city is experiencing sideways growth.” 

“People living in Logan and Ipswich find they don’t need to go to Brisbane any more.

“They’re satellite cities where people live and work and in this case it’s still within Greater Brisbane.”

“There’s limited new housing stock within 5 to 10 kilometres of the CBD, and when high quality new builds or well-renovated character homes hit the market, they’re attracting multiple buyers immediately.” 

“People want proximity to schools, transport and lifestyle precincts, but they also want modern, turnkey living, and that scarcity is pushing prices upward.”

Buyers were choosing Ipswich and Moreton Bay for their affordability and land availability.

“Families are moving outward because they can secure newer homes on larger blocks for significantly less than inner-city prices.

“With improving infrastructure, schools and retail hubs already in place, buyers feel confident they’re getting both lifestyle and long-term growth.”

Regional Queensland home values were up 13.4 per cent to a median of $810,000.