Brisbane apartment market insights: What happened over April
The Brisbane unit market is showing consistent growth, according to CoreLogic's Monthly Hedonic Home Value Index.
Values jumped 1.4%, following the 1.6% gains in March and 1.5% over February. Values are now 6% up over 2022 already, well on their way to matching the 14.4% growth over 2021.
The quarterly performance, up 4.6%, is the highest in the country for the unit market.
The median apartment value in Brisbane is now $488,393. At the start of 2021, it was just over $390,000.
Following the RBA's first interest rate rise in nearly 12 years at the May meeting, the Real Estate Institute of Queensland (REIQ) said the resilient Queensland market the higher rate forecasts.
REIQ CEO Antonia Mercorella said given the level of inflation, this may not be the last interest rate rise we see, but it was important to recognise that many market conditions and external factors remain favourable in Queensland.
“We know that consumer confidence is key, and this move by the RBA will certainly make people stop and think more carefully about how much they are prepared to borrow, because it’s a timely reminder that interest rates can and do go up,” she said.
“While on the face of it, it’s not an insignificant rise, in the grand scheme of things interest rates have been at historic lows for some time and are still very low.
“This is also where our relative affordability is an advantage, as our average home loan rate is much lower than in capital cities like Sydney and Melbourne, and so the impact will be felt less here.
“We remain confident in the resilience of the Queensland market because the need and demand for housing is irrespective, and an interest rate rise simply causes people to rethink what they are prepared to spend and how big of a loan they are prepared to enter into."
Total advertised inventory of both houses and apartments is more than 20 per cent below levels from a year ago in Brisbane, and around 40 per cent lower than the previous five-year average.
