CoreLogic RP Data has just released reports on the performance of the housing market in 2015 and forecasts for 2016. It expects owner occupied demand in Australia to ease slightly over the next year, mainly due to lower migration. Last year Queensland’s population grew at 1.2%, below the national 1.4%. Investors have been less active in recent times as the impact of APRA changes tighten bank lending requirements.
I expect Brisbane’s Bayside suburbs will continue to grow steadily both in sale price and volume, however much will depend on the performance of the resources sector and the Chinese and Indian economies in particular. Interest rates are expected to remain steady.
- Brisbane house values increased by around 4.3% (units only 1.8%). Sydney and Melbourne had lower rates of growth, while Perth values fell by 3.7%.
- Median price for houses in Brisbane was $507,500 (units $390,000).
- Brisbane experienced an increase of 3.8% in dwelling sales over the year, one of the highest results of any capital city.
- Listings in Brisbane declined by 7.7% over the year, indicating a higher proportion of sales.
- On average, houses were listed on the market in Brisbane for 58 days.
- Average vendor discount on price between initial listing and final sale price was 5.1% (houses) and 4.9% (units).
For those thinking of selling, the overall outlook suggests that this year’s market will probably be fairly similar to last year, experiencing a steady but modest increase in prices and a stable market of buyers moving into the Bayside area for quality schooling and lifestyle.