Brisbane: What’s happening in mid-2022 and for the rest of the year and should you be looking to sell?

You have seen the headlines… another month, another interest rate rise. 

And yet we are still sitting at historically low rates. There are plenty of people who are excited because they fixed at four or five per cent (or even higher) several years ago. Now those loan contracts are expiring, those buyers can finally escape high rates and refinance to a more affordable level. 

At our office, we’re focused on activity, not interest rates. And there is plenty going on in terms of Brisbane property. 

Brisbane property update

South East Queensland is still in a growth phase, with high demand from interstate and overseas buyers who covet the space and lifestyle on offer in this stunning part of the world. 

From our perspective as a property agency at the ‘coalface’ of the industry, there is still stock coming onto the market and the most sought-after properties (quality, freestanding family homes) are being sold quickly. Some of the results we have had from four and five bedroom property sales in suburbs like New Farm, Hawthorne and Ascot over recent months have been astounding. 

The good news in terms of figures and forecasts is the ongoing strength of Brisbane’s property market. Some newspapers are talking about a slight ‘settlement’ in relation to home values over the winter months but this is absolutely nothing when you consider values rose by an average of over 20% (and by far more in some suburbs) during the pandemic. 

We are excited about the Brisbane property market right now for the following reasons: 

• Interstate migration is still strong 
• Many expats are looking to return home
• Westpac forecast an 8% price rise in Brisbane in 2022 (Sydney and Melbourne are forecast to fall by 5 – 6%)
• Auction clearance rates are sitting at around 70%
• There are more buyers than sellers (which keeps prices healthy) 
• Rental vacancies are low (less than 1%), which presents excellent opportunities for investors
• We are heading into spring and summer, which is when the action really ramps up
• A typical Brisbane house is worth about $150,000 more than it was at the beginning of January, and units are now around $67,000 more expensive
• Our office is constantly fielding enquiries from overseas buyers who are very motivated and are purchase-ready
• According to the Urban Developer, Brisbane remains the national leader on price growth

Ready to sell?

If you have a quality property in good condition, it is absolutely, without a doubt, an excellent season to sell. 

As real estate agents, we can never predict the future but we are hearing some concern from economists about house values in 2023 and 2024. This doesn’t mean prices will nosedive and stay low. It’s more about owners selling for slightly more this year than they will towards the middle and end of next year. 

For this reason, we are encouraging anyone who is unsure about whether to sell to take action ASAP. 

Looking to buy? 

If you want to buy an investment property and lease it to tenants, there really is no better time. Low vacancy means you can have your pick of the renter market and should be able to find someone to take on a long-term contract. In terms of value, buy with a ‘long game’ in mind and it’s very likely you’ll be celebrating your decision over the years to come. 

Regular buyers can also rest assured your investment will provide returns, particularly if you buy well in a good area. 

The first eight months of the year have proven Brisbane is holding strong in terms of property prices and demand. As we come into the warmer weather, we know things will only ramp up. Now’s the time to get in touch and create your property strategy with us. 

I hope you enjoy the read.

Matt Lancashire