By Adam Empringham, Sales Director, Image Property
Southeast Queensland has forged ahead of its southern counterparts recently, with Brisbane also named as Australia’s best capital city property market performer.
According to CoreLogic, unlike Sydney and Melbourne’s softer conditions, the Brisbane property market continues to shine as Australia’s best performer in 2022, with no housing market recording a quarterly or annual decline in value. Plus, unit markets also recorded overwhelmingly positive results as well.
The new research found that the strongest value gains across the Brisbane house markets were south of Brisbane River, where quarterly value increases of around 10 per cent were recorded for Acacia Ridge, Capalaba, and Yeronga.
Topping the list for Greater Brisbane was Logan Central, where values increased 13.5 per cent in the March quarter.
The super-strong market conditions in the River City are set to stay for some time yet, courtesy of our solid interstate migration, especially from New South Wales and Victoria, because our property remains affordable in comparison to their markets.
Consider that for new interstate migrants, the median house price in Brisbane was $857,000 in March – a figure well below the equivalent in Sydney, which was $1.4 million.
Market conditions on the Sunshine Coast are even more impressive, with a continued low supply of properties causing buyers to add further upward pressure to prices.
Without question, the Sunshine Coast is one of the country’s most in-demand property markets, with its median house price expected to hit $1 million well before Brisbane’s.
Brisbane property data
The Brisbane median house price has increased 6.4 per cent over the March quarter, according to CoreLogic, and has risen by an extraordinary 29.3 per cent over the year – the strongest growth of any capital city over the period.
According to SQM Research, total property listings in Brisbane remain 30 per cent below March last year, which is causing prices to keep rising.
In fact, total property listings remain at record lows, with only about 17,200 dwellings for sale across the entire city in March this year.
SQM Research also found that the asking sale price for houses in Brisbane has increased 34.9 per cent since March last year while asking sale prices for units have risen 13.6 per cent over the same period.
When it comes to the Brisbane rental property market in 2022, we have one of the most undersupplied of any capital city in the country.
The Brisbane residential vacancy rate has fallen to just 0.7 per cent in March – down from 1.5 per cent in March last year. This is the lowest level in 16 years and is potentially the lowest on record, but datasets are only available until about 2005.
This critical undersupply of rental properties has resulted in Brisbane recording the largest 12 month-combined rental increase with asking rents jumping 15.2 per cent over the year, according to SQM Research.
At an individual dwelling type level, Brisbane’s asking rent for houses has soared 21.2 per cent and increased 7.9 per cent for units over the past year.
Sunshine Coast property data
While the Sunshine Coast property market is usually lumped into the “regional Qld” category, it is safe to say that market conditions are red-hot in this coastal lifestyle haven.
According to local agents, demand is still far exceeding supply, with strong property price growth continuing.
There are currently fewer than 5300 properties for sale across the entire Sunshine Coast – remembering that the coast is home to more than 350,000 people, after all.
Such a low volume of listings is causing asking prices to skyrocket. SQM Research data shows that the asking price for houses on the Sunshine Coast has increased 32.5 per cent over the past year, while the asking price for units is equally impressive, with a rise of 30.5 per cent over the same period.
The Sunshine Coast’s rental market has been struggling with an undersupply of rental properties for a long while. Its vacancy rate hit just 0.5 per cent in March – the lowest level since 2005.
Such a critical undersupply has resulted in asking rents increased significantly over the past year – the asking rent for a house on the Sunshine Coast has risen by 16. 7 per cent, and for units, it is up 13.7 per cent, according to SQM Research.