High median price gap between Brisbane and Sydney sees buyers eyeing north: Place CEO Damian Hackett
Families from southern capitals are looking to the north for a better lifestyle at an affordable price, as median prices in Sydney are up to 75% higher than in Brisbane, says Place CEO Damian Hackett.
The median house price in Sydney and Brisbane during October 2015 was at the highest level in 13 years, he noted CoreLogic RP Data shows.
“The last time we saw these kinds of figures was back in 2002, when the median dwelling prices in Sydney were 97 percent higher than those in Brisbane – slightly above the current figure - which reflects a 75 percent difference," he said.
“If we look back, an increasing median price gap between Brisbane and our southern counterparts is key in shifting momentum."
Sydney and Melbourne buyers are rejecting the southern pricing instability in favour of Brisbane. Investors observe Brisbane’s high yields, while young families seek affordability and a quality lifestyle, he said.
“Brisbane is consistent in terms of sales activity and stability, with low interest rates this year encouraging investment across the board, in addition to upgrades in the upper end of the market.
“Queensland owner-occupiers are quickly snapping up family homes on large blocks in Brisbane’s blue chip suburbs, where they pay a fraction of what they would in Sydney”.
Queensland represents value for money, an attractive option for southern buyers as Sydney and Melbourne continue to experience unsustainable growth, says Hackett.
"What we’re now seeing is Sydney and Melbourne prices are reaching their peak; people are looking for stable and solid growth and that’s what we have in Brisbane. Families are recognising the very high quality of living they can afford in Queensland.”
According to Place, the increasing transport infrastructure across Brisbane will only add to its appeal.
“The first direct flights from Gold Coast to China have commenced, and the G20 showcased Brisbane as a highly attractive city, while the Gold Coast is seeing a boom in i
