Brisbane house prices hit new high, Gold Coast surges in growth: REIQ

Brisbane house prices hit new high, Gold Coast surges in growth: REIQ
Brisbane house prices hit new high, Gold Coast surges in growth: REIQ

Brisbane, Gold Coast, and the Sunshine Coast continue to drive the property market growth in Queensland, according to a new report from the Real Estate Institute of Queensland.

The Brisbane LGA median house price grew 3.6 per cent in the 12 months to June, to reach a new high of $655,000, which demonstrates that affordability and amenity deliver consistent growth, says the latest REIQ Queensland Market Monitor.

In comparison, prices in Gold Coast surged 6.8 per cent over the 12 months to June, reaching an annual median house price of $595,000.

The Sunshine Coast SD grew 6.2 per cent over the year to June, to a median house price of $550,000.

REIQ CEO Antonia Mercorella said Queensland’s southeast corner once again stood out as the ideal housing market, delivering steady, sustainable growth.

“There is no denying the consistency of Greater Brisbane’s yearly median house price growth – we have grown steadily for about four years – which is proof that affordability combined with jobs and lifestyle are the recipe for a pretty close to perfect house market,” said Mercorella.

Capital city data, which looks at house prices to 31 May 2017, also clearly supports the case for Greater Brisbane compared with Greater Melbourne and Greater Sydney, according to the REIQ.

“Looking at Greater Brisbane compared with Greater Melbourne and Greater Sydney our median house price has grown 4 per cent to Melbourne’s 9 per cent and Sydney’s 6 per cent (for 12 months to 31 May) but as those markets start to cool people are naturally growing concerned about a potential correction.

“However, throughout the southeast corner, our growth is based on an improving value proposition, which means it is reliable, sustainable capital growth” she said.

The number of million-dollar suburbs held steady at 14 suburbs, with Auchenflower joining the club and replacing Paddington, which fell out of the club with a median of $994,050:

  • Ascot ($1,520,000)
  • Auchenflower ($1,055,000)
  • Bulimba ($1,110,000)
  • Chelmer ($1,035,000)
  • Clayfield ($1,075,000)
  • Fig Tree Pocket ($1,028,000)
  • Hamilton ($1,065,000)
  • Hawthorne ($1,200,000)
  • Highgate Hill ($1,141,119)
  • New Farm ($1,600,000)
  • Robertson ($1,078,000)
  • St Lucia ($1,255,000)
  • West End ($1,100,000)
  • WILSTON ($1,200,000)

According to Corelogic RP Data, more than half (almost 56 per cent) of Sydney suburbs have a median house price of $1 million or more. By comparison, just 5.9 per cent of Brisbane suburbs have a median house price of more than $1 million.

Teneriffe remains Brisbane’s only $2 million suburb.

Brisbane LGA’s top five suburbs for annual median house price growth in the 12 months to June were:

 

  1. WILSTON (18.8%)
  2. Auchenflower (19.2%)
  3. Gaythorne (21.6%)
  4. Ascot (21.6%)
  5. St Lucia (21.8%)

 

Queensland’s top five suburbs for annual median house price growth in the 12 months to June were:

 

  1. Woodend in Ipswich LGA (34.5%)
  2. Murgon in South Burnett LGA (26.0%)
  3. Clear Island Waters in Gold Coast LGA (24.0%)
  4. Oonoonba in Townsville LGA (23.6%)
  5. Sunshine Beach in Noosa Shire (23.1%)

 

The unit market performed with less strength this quarter, as weakening demand and continued supply issues deliver flat to negative growth throughout the state.

The standout suburbs where units performed well in Brisbane LGA were:

However, regional Queensland did not perform as strongly this quarter, although Mackay was the stand-out as it delivered strong quarterly growth of 7.4 per cent and second consecutive fall in vacancy rates.

“This market is finally showing the positive impact that we have been seeing in other parts of the local economy,” Mercorella said.

“Mackay is a really positive town, with the housing market finally reaping some small uplift of what has been promising economic activity earlier this year.

“To be clear, however, the annual median house price eased by 5.6 per cent compared with this time last year, so we don’t want to overstate this result. There is still some way to go before this challenged market recovers its position.

“But, we are encouraged to see good quarterly growth and we are keenly awaiting next quarter’s results to see if this represents the green shoots of recovery,” Mercorella said.

The data revealed that Gladstone is Queensland’s most affordable unit market, with a median unit price of $218,750, while Rockhampton was the most affordable house market with a median house price of $270,500.

Tags: 
Reiq Queensland

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