Brisbane: Boom or bust in 2016?
When examining Australia's various real estate markets, spare a thought for Brisbane. With 2.2 million residents, it's our third-largest city, home to a $146 billion economy. How is it, then, that the city seems to lag behind when it comes to property, playing not just third but sixth fiddle in the nation's median house price figures, calculated by CoreLogic RP Data?
There might be good news for Brisbane residents, and those who have an interest in property investment here. While the hot property markets in other cities such as Sydney, Melbourne and Canberra have taken much of the real estate industry's focus, the Queensland capital has quietly been developing into an enticing buyer's market.
In fact, in its most recent Home Buyers Index, the Commonwealth Bank believes that recent selling conditions across the city have tipped the scales even more in favour of the buyer. Perhaps 2016 is the time to get ahead of the market, and speak to a Brisbane buyer's agent about your property options.
Recent selling conditions across the city have tipped the scales even more in favour of the buyer.
Staying ahead of the curve
As seasoned speculators will tell you, the real estate investment game is all about timing. It may appear that Brisbane is one of the best places to purchase property in Australia at the present time, but you're likely not the only person to have read these signals.
Figures from the latest Real Estate Institute of Queensland (REIQ) Market Monitor support the notion that people are beginning to take notice of Brisbane's buying potential. Over the September quarter, house sales in the city climbed to their highest levels in five years, and REIQ CEO Antonia Mercorella sees that as the beginning of a growth period across the whole state.
"It's been difficult for areas of the state that were heavily reliant on mining to find their feet, but we're starting to see indicators that suggest we are heading towards firmer ground," she said.
If you're in the market for some big city property, without the extreme median house prices seen in Sydney and Melbourne, it might be worth having your buyer's agent start making some inquiries in Brisbane before everyone else catches on.
Outlook for 2016
There's little argument that the Brisbane market underperformed in 2015, at least in comparison with its capital city counterparts. With that in mind, just as Sydney and Melbourne began to show signs of downturn towards the end of the year, the Queensland capital bucked the trend and continued to show growth.
In CoreLogic's end of 2015 wrap up, Brisbane was one of only three major cities to show growth over the three months to November. Speaking to the Australian Financial Review, CoreLogic Head of Research Tim Lawless noted that the city also had the strongest yields in the country, with 5.3 per cent for units and 4.2 per cent for houses.
Brisbane was one of only three major cities to show growth over the three months to November.
Those kind of numbers are likely to see a lot of heads turning Brisbane's way, as the overheated Sydney and Melbourne markets see buyer's looking elsewhere for the best places to spend their investment dollars.
Buying in Brisbane with Cohen Handler
After first establishing themselves in Sydney in 2009 and later expanding to Melbourne, Cohen Handler most recently turned its attention on Brisbane. Now, we offer a full suite of services in the Queensland capital, and our buyer's agents are ready to help you find the property you are looking for.
With years of experience in the real estate industry, we can help you with locating property for purchase, auction strategy and bidding, and property management. Make an appointment with one of our expert Brisbane team today.