Brisbane to see biggest house price rise nationally by 2022
Brisbane’s median house price is predicted to jump 20 per cent by 2022, far beyond any other capital city in the same period.
The BIS Oxford Economics property forecast predicts Brisbane will see the greatest national gains in house prices, but not for another couple of years as the remaining oversupply is consumed.
The median house price is expected to increase from $552,000 to $665,000 in Brisbane.
That percentage rise is the highest predicted for the capital cities nationally, well ahead of Sydney at 6 per cent and Melbourne at 7 per cent.
“A weak Queensland economy and high level of dwelling supply have dampened price growth in Brisbane in recent years,” the report notes.
“The result is that house prices in Brisbane are relatively affordable.
“With credit conditions easing and interest rates falling, improving affordability will be a catalyst for raising price growth as stronger economic growth returns and the market moves into a rising deficiency.”
Apartment supply is still high, according to the report, and the economy remains slow keeping price rises “modest” over the next 12 months before prices are predicted to jump in 2021-22.
While houses are predicted to see a big jump, apartment and unit prices are only expected to see a 14 per cent median rise in Brisbane.
The Gold Coast and Sunshine Coast, meanwhile, are benefiting from the high migration rates with house prices remaining high. Source: Brisbane Times.