Queensland property 'some of the most affordable in Australia'

By the resi financial blog team, 29 November 2013

Queensland property 'some of the most affordable in Australia'

People looking to refinance investment property may be encouraged to hear that new figures suggest the Queensland real estate market is in recovery.

Data from the Real Estate Institute of Queensland (REIQ) found house sales across the state jumped nine per cent in the September quarter, with transactions climbing across the south-east and far north.

Anton Kardash, chief executive officer at REIQ, said the market has been posting promising results for the last 12 months and the latest statistics have eliminated any doubt the state is experiencing a healthy growth phase.

There may also be good news for buyers currently researching the best fixed interest rates in Australia, as Mr Kardash claimed median house prices remained relatively unchanged in the September quarter.

"Given the price increases in the southern states, there is no doubt that Queensland remains one of the most affordable places to buy or invest in property," he explained.

The expert said this is likely to encourage an influx of investors and migrant buyers to the state, who will be keen to take advantage of such lucrative opportunities.

Positive signs for Queensland property

Aside from rising transaction rates, there are several other positive indicators for the Queensland property market, including vendor discount figures.

Last year, sellers were shaving off an average of 7.9 per cent from their listed properties, but this has dropped to 6.5 per cent in 2013.

The number of days homes spend on the market is also declining, tumbling from 90 days to 78 over the same period.

During the September quarter, there was a rise in transactions worth below $350,000 across the state, which the REIQ said could suggest increased investor activity.

The organisation claimed this could be having an effect on median house price data.

Buying a home in Queensland

If you feel now is the time to buy in Queensland, the REIQ data provides some useful information on current prices across the state.

The report showed Brisbane home values increased over the September quarter, but only slightly, rising 0.6 per cent to $530,000.

Elsewhere, the Gold and Sunshine coasts experienced price falls, with median prices slipping 0.6 per cent and 1.3 per cent respectively.

The two regions saw the number of house sales climb over the same period, suggesting people are taking advantage of steady prices by making a purchase in the current environment.

Gladstone and Mackay - both of which are heavily linked to the mining boom - continue to experience falling house sale transactions over the last year, although the latter posted a five per cent increase over the quarter.

Gladstone saw house prices drop 8.5 per cent to $437,000 over the three-month period, but the REIQ believes these more affordable properties will entice buyers to the market in the new year.

Categories: Property Investment