Queensland ‘a rising star’ amid falling property markets: REIQ

Data from the state real estate agency showed that SunshineSun, NSW Sun, VIC The state continued to see solid house price growth in the March 2022 quarter, a stark contrast to the bleak picture takes place in the southern states.

Median home prices and unit prices rose 3.23% and 2.17%, respectively, in the first three months of the year, according to figures released by the REIQ.

The quarterly gains took the average sale price of homes and units to a quarterly median price of $640,000 and $470,000, respectively.

On an annual basis, the average house price in Queensland increased by 15.27%, while units increased by 11.11%. Currently, median home prices stand at $592,500, while average unit prices are $450,000.

For homes, the strongest performer in the quarter was Noosa Local Government Area (LGA), registering a huge quarterly increase of 15.38% to an enticing median of $1.5 million.

Noosa was followed by Logan with a quarterly increase of 7.75% to $598,000, followed by Toowoomba (up 6.67% to $480,000), Gladstone (up 6.58% to $405,000) and Ipswich (up 6.38% to $500,000) to complete the top five LGAs with the biggest increases in average prices over the period.

Moving on to the unit sector, the top five performers during the quarter were Gladstone (up 18.37% to a median price of $290,000), Fraser Coast (up 16.18% to $395,000 ), Logan (up 10.91% to $305,000), Sunshine Coast (up 7.21% to $646,000) and Moreton Bay (up 6.05% to $403,000).

Commenting on the figures, REIQ chief executive Antonia Mercorella said the state’s growth will not stop in the last quarter, saying Queensland is currently positioned for further growth.

“Over the past two years, the history of the Queensland property market has been extraordinarily positive from a seller’s perspective, and the latest quarterly data tells us that the Sunshine State market is still a rising star,” said Ms. Mercorella.

She acknowledged that the strong quarterly gains did not come without obstacles, noting the many headwinds the market faced from January through March. She also noted that the year also has more challenges up its sleeve for the region.

“The first quarter of 2022 has been fraught with challenges such as the COVID-19 outbreaks, the flood disaster, the series of long weekends including the Easter shutdown, the impending federal election and signs indicating a rise in interest rates, some banks adapt early in anticipation,” she said.

And while these disruptive events caused some buyers to “pause” their property search in Queensland, Ms Mercorella said the state has maintained healthy growth, adding: “I’m sure the median prices hit this quarter will take some of us by surprise.

She also pointed out that it’s not just the state capital that’s showing strong growth: “Our real estate markets and our regional core communities also continue to experience increased growth.”

For buyers deterred by rising prices in the area, Mercorella offered some advice.

“Of course, it can be easy to become disillusioned and discouraged as a buyer seeing these prices reach new highs, but it’s important to remember that these are median sales figures over a relatively short and that there are always more affordable options in areas with a median of $1 million – so it’s worth doing your research before assuming an area or suburb is out of your reach,” she said.

For those looking for a bargain, the quarterly median house price remained below half a million dollars in Ipswich ($500,000), as well as regional centers such as Rockhampton ($330,000), Townsville ($390,000). $000), Bundaberg ($400,000), Gladstone ($405,000). ), Mackay ($425,000) and Toowoomba ($480,000).

What’s next for the Queensland property market?

Ms Mercorella said that while ‘crystal ball’ predictions of the direction of the Queensland property market are generally widespread, they are not definitive predictions.

“Our state still has all the fundamental ingredients for continued growth – a booming population, very low supply, strong and cashed-in buyer demand, relative affordability and low interest rates,” she said. declared.

The REIQ executive also discussed the potential ripple effect of Reserve Bank monetary policy decisions in the coming months.

“So even if we face further interest rate hikes, we expect it will take time to have a noticeable impact on buyers’ pockets and selling prices, and in the meantime, the obvious shortage procurement will continue to tip the scales in favor of sellers, as buyers compete to secure a property,” Mercorella said.

“We expect there will also be buyers waiting in the wings who may decide the time is right to rush while they can still get low fixed rates. of the rental market, the transition to homeownership would be increasingly attractive to tenants.

Ms Mercorella also admitted that the big gains would eventually stabilize, but reiterated that it will still be some time before the market cools down.

“We recognize that at some point the rate of growth we see in Queensland will start to level off and level off, simply because it would be difficult to sustain that level of accelerated growth – but for now, there is still plenty of wind in the Queensland sails. real estate market,” she said.

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Queensland ‘a rising star’ amid falling property markets: REIQ



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Last update: June 03, 2022

Posted: Jun 04, 2022