The demand for Queensland’s residential property market appears to be insatiable with the latest median house price data from the REIQ showing another period of strong performance over the September 2021 quarter.
Across Queensland, median house prices climbed 1.8 per cent over the quarter, with Greater Brisbane and Local Government Areas (LGAs) with tourism hotspots proving to be increasingly appealing.
Growth in some regional LGAs has been rising, but the market has been volatile over the past 12 months.
Houses were snapped up in Brisbane, which achieved the highest number of house sales over the quarter (3912), followed by the Gold Coast (2419), Moreton Bay (1945), Sunshine Coast SD (1510), Logan (1413) and Ipswich (1366), proving lifestyle and city fringe locations remain ever popular.
Brisbane’s median house price grew 4.7 per cent over the quarter to a new high of $900,000, representing 15.5 per cent growth compared to 12 months prior.
Greater Brisbane still offered a chance of greater affordability for those who wish to live on the capital city outskirts with a 2.8 per cent quarterly increase to $640,000.
In terms of growth over the quarter, Noosa was the clear stand out with soaring double-digit growth of 13 per cent, down from a stellar 19.8 per cent in the June 2021 quarter.
This was followed by Ipswich (8.7 per cent), Redland and Fraser Coast (both at 6.5 per cent), and Bundaberg (6.4 per cent) to round out the top five growth performers.
Noosa also took the top spot for the highest quarterly median sale price at a staggering $1.3 million, followed by Brisbane at $900,000, Sunshine Coast SD at $850,000, Sunshine Coast at $825,000, and Gold Coast at $810,500.
Some regional centres took a step backwards in the September quarter including Rockhampton, down 3.2 per cent, Gladstone down 5.6 per cent, and Townsville down 0.1 per cent. Meanwhile, Mackay remained static.
However, these LGAs posted respectable growth over 12 months, with Gladstone the stand out at 15.7 per cent, with its fall this quarter perhaps reflecting a correction after three strong previous quarters of growth.
Across Queensland, median unit prices rose 3.5 per cent over the quarter.
Double-digit growth was seen in Mackay (17.4 per cent), Sunshine Coast (12.1 per cent), and Sunshine Coast SD (11.1 per cent), while Cairns (9.1 per cent), Logan (8.7 per cent), and the Gold Coast (6.3 per cent) all performed well too.
Greater Brisbane experienced moderate median unit price growth at 1.8 per cent to reach $420,000.
In some regions, units were a more volatile proposition with September quarter median unit prices falling in Gladstone (down 14.8 per cent), Rockhampton (down 9.8 per cent), Bundaberg (down 8 per cent), Noosa (down 4 per cent) and Ipswich (down 2 per cent) LGAs.
However, these LGAs posted remarkable median unit growth in the previous quarters, with Gladstone growing 33.4 per cent and Bundaberg climbing 22.9 per cent in the March 2021 quarter; while Noosa grew 17.4 per cent and Rockhampton grew 14.6 per cent in the June 2021 quarter.
Coastal areas understandably fetched the highest unit prices with Noosa ($850,000), Sunshine Coast SD ($600,000), Sunshine Coast ($560,000) and Gold Coast ($510,000) at the top of the charts.
REIQ Chief Executive Officer Antonia Mercorella said the phenomenal property price growth being experienced in Queensland was a result of a number of factors driving insatiable demand from buyers.
“Queensland hasn’t experienced this sustained level of demand and accelerated growth before, but after years of modest growth, prices here are playing catch up,” Ms Mercorella said.
“Even as our median prices rise, our state is still demonstrating greater bang-for-buck, with investors looking to make their real estate dollar go further, and southerners making the move keen to lap up our state’s incredible liveability factor.
“It’s not surprising that Queensland property is still extremely attractive, given our state’s enviable lifestyle coupled with a sense of safety and relative freedoms during the pandemic, and of course our comparatively great affordability compared to our southern city counterparts.
“There’s also a degree of excitement and attention that comes with the news that South East Queensland is set to stage the Brisbane 2032 Olympic and Paralympic Games, and more tangibly, the propelling forward of investment and timelines for infrastructure as a result.”
Ms Mercorella said interstate migration to Queensland was at an almost 20-year high, with cashed up buyers comfortable with auctions keen to snap up properties with competitive offers.
“Low levels of stock, record low interest rates, high levels of consumer confidence and household savings, more flexible remote workplace arrangements than ever, and the fear of missing out, are all additional factors spurring on the rapid property price growth and are fundamental ingredients for a strong market as we head towards 2022,” she said.
“While predicting what’s next is simply crystal ball gazing, the market is still going strong with 12-month growth averages indicating markets are rising right across the board.
“With interstate borders reopening and international border opening to come, chances are we could see a flurry of activity and an uptick in demand well into the new year.”