There are two key ways this conflict could negatively impact Brisbane property prices.
- The concept of war is bad for confidence; and
- Rising prices caused by inflationary pressure.
But, it’s not a fait accompli for three reasons.
- The strength and resilience of the Australian economy should not be underestimated, for starters.
- Interest rates are still at an all-time low. At the latest RBA meeting they chose to leave interest rates at 0.1 per cent for the 17th month in a row, stating that ‘The war in Ukraine is a major new source of uncertainty,’.
- With interest rates holding, combined with the mix of rampant buyer demand and the lack of established stock, the war could in fact extend the housing boom.
It seems that time will tell what impact, if any, the Russian invasion will have on property prices.
I hope you enjoy the read.