Property Market Forecast: Queensland property prices are expected to continue their rise in 2022

Real estate in the Brisbane and greater area is hot property thanks to historic pandemic interstate migration since early 2020. Buying or selling a house in Queensland has seen an unprecedented demand for Conveyancing in the Australian state.

“SQM Research’s Housing Boom and Bust Report 2022 named Brisbane as this year’s winner of the Australian real estate market – with the city expected to dominate dwelling value growth in 2022.” 

Source: www.smh.com.au/property/news/forecasters-predict-australia-s-hottest-property-market-in-2022-20211214-p59hhk.html

BRISBANE HOUSING MARKET AND INTEREST RATES

Despite the recent interest rate hike by the Reserve Bank of Australia (the first in more than 11 years) the elevated demand for housing in Brisbane and Queensland is unlikely to decrease.

“Even with Tuesday’s increase and more rate rises over the coming months, many parts of the economy are robust and the fundamentals are still in place to provide support for the housing market to continue growing. This is particularly noticeable in an area like South East Queensland, which is experiencing strong interstate migration and limited housing supply.”

Source: Shaun Bond www.canstar.com.au/home-loans/rising-interest-rates-property-values/

BRISBANE HOUSE PRICES AND CAPITAL GROWTH

This purchasing trend is in part down to the affordability of housing in the state and capital still sitting well below the median house prices of Australia’s capitals Sydney and Melbourne. Despite a 27.4% increase in house prices for Brisbane during the last year, three of the four big banks are forecasting Brisbane to see the highest growth of all capitals in 2022.

“Greater Brisbane and Greater Hobart had the highest population growth from internal migration, adding 2.8 per cent and 1 per cent over the last five years. Their respective property markets produced capital growth rates of 29 per cent and 80 per cent over the five year period.” 

Source: www.realestate.com.au

Along with desirable lifestyle factors there is also the appeal of greater residential space and a backyard that is drawing property buyers from all over Australia to the sunshine state. 

“now that our borders have opened up and considering the price differential and the perceived lifestyle benefits it’s likely that the northern migration will continue into 2022. Add to this positivity off the back of employment growth and the long term benefits of hosting the Olympics and the extra infrastructure building that will occur, this part of Australia is looking particularly positive.” 

Source: www.propertyupdate.com.au

WHAT CAN WE EXPECT FROM APRA AND INTEREST RATES IN THE NEAR FUTURE?

Financial regulator APRA will be watching closely to assess when to intervene with tougher controls on lending along with the RBA potentially raising interest rates through the next 3 years. 

“While tougher lending standards will certainly take some heat out of Australia’s property markets by restricting the number of people that can get home loans, or lessen the amount they can borrow, it seems like the regulators are aiming to gently apply the brakes to the housing market, rather than slam them on.” 

Source: www.propertyupdate.com.au

If you are buying in Queensland during these unprecedented times for the property market we can help take the stress out of the settlement process with our dedicated team of Conveyancing professionals. 

Contact our inner city Brisbane office today for a contract review and free fixed quote whether you’re buying, selling or transferring house and land in Queensland.

Phone 07 3013 2300 or send an email to our team: reception@rivercityconveyancing.com.au

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