The Urban Developer
AdvertiseEventsWebinars
Urbanity
Awards
Sign In
Membership
Latest
Menu
Location
Sector
Category
Content
Type
Newsletters
TheUrbanDeveloper
Follow
About
About Us
Membership
Awards
Events
Webinars
Listings
Partner Lab
Resources
Terms & Conditions
Commenting Policy
Privacy Policy
Republishing Guidelines
Editorial Charter
Complaints Handling Policy
Contact
General Enquiries
Advertise
Contribution Enquiry
Project Submission
Membership Enquiry
Newsletter
Stay up to date and with the latest news, projects, deals and features.
Subscribe
ADVERTISEMENT
SHARE
print
Print
ResidentialTue 28 Nov 17

Brisbane Housing Affordability Declines as Investors Move in

1501680194382

Brisbane is experiencing declining housing affordability despite falling apartment prices, with the city's median house price continuing to grow during the year's third quarter.

Research by PRDnationwide into the country’s residential hotspots during the second half of 2017 revealed oversupply in units has resulted in price softening by -2.2 per cent, while house median prices experienced 1.5 per cent growth over the past nine months.

The overall proportion of income required to meet home loan repayments increased to 27.2 per cent from 26.7 per cent.

“Brisbane continues to provide a significant value for money market when compared to Melbourne and Sydney, however affordability for its residents is starting to diminish,” PRDnationwide managing director Tony Brasier said.

“That said, first home buyers are still able to find affordable hotspots in every pocket within the city. [The] threat of units oversupply is evident, suggesting the council needs to revise its development plans.”

[Related reading: 7 Major Projects Add $12bn to Brisbane’s Economy]

Southern suburbs recorded the strongest positive price growth of 9.4 per cent for houses and 2.1 per cent for units while the northern suburbs lead to house price growth of 5.0 per cent.

Buyers in Brisbane with a maximum budget of $500,000 access approximately 10.6 per cent of the market, a staggering fall from 15.3 per cent last reported by PRDNationwide.

Buyers with the same budget in Melbourne could access only 11.2 per cent, and buyers with in Sydney with a $500,000 budget had access to zero per cent of the market.

Houses and inner-suburban apartments gained in price, partly due to investors from the southern states who flocked to take advantage of lower prices.


The results showed a notable decrease in Brisbane’s affordability, as PRDnationwide’s previous report on Brisbane for the first half of said buyers with a maximum budget of $500,000 were able to access 15.3 per cent of the market.

In Brisbane, buyers with a budget anywhere between $500,000 and $800,000 had access to approximately 52.9 per cent of the total residential market. With the same budget buyers could access 37.5 per cent of the market in Melbourne.

Sydney house-hunters would need $1-2 million to access just over half of their market.

ResidentialAustraliaBrisbaneFinanceReal EstateSector
ADVERTISEMENT
TOP STORIES
QBCC project trust accounts hero
Exclusive

Developers Warned as Commission Cracks Down on Subbie Pay Scheme

Clare Burnett
7 Min
Urban Infill site at Tonsley SA
Exclusive

SA Grapples with ‘Development Killer’ Carparking Law Changes

Leon Della Bosca
7 Min
Exclusive

Brains, Guts and Determination: How Salvo Property Shapes Melbourne’s Skyline

Marisa Wikramanayake
5 Min
Fraser and Partners founder Callum Fraser
Exclusive

Saving Our CBDs: Architect’s Blueprint Paves Way for Office-to-Resi that Works

Leon Della Bosca
8 Min
Exclusive

Watchdog’s Court Loss Throws Spotlight on Union Balancing Act

Clare Burnett
6 Min
View All >
It was for a 2809sq m project next to Bunnings Gregory Hills at 38-44 Lasso Road owned by Anric.
Retail

Anric Gets Go-Ahead for Sydney Suburban Hospitality Hub

Renee McKeown
Goodman Project Pluto EDM
Data Centres

Goodman Pivots Guildford West Site to $1.1bn Data Centre

Vanessa Croll
Build-to-Rent

Build-to-Rent Investors Writing Sector’s Next Chapter

David Di Marco
Unpack the structural and cyclical forces shaping the sector’s future across Australia and the broader Asia-Pacific regi…
LATEST
It was for a 2809sq m project next to Bunnings Gregory Hills at 38-44 Lasso Road owned by Anric.
Retail

Anric Gets Go-Ahead for Sydney Suburban Hospitality Hub

Renee McKeown
2 Min
Goodman Project Pluto EDM
Data Centres

Goodman Pivots Guildford West Site to $1.1bn Data Centre

Vanessa Croll
3 Min
Build-to-Rent

Build-to-Rent Investors Writing Sector’s Next Chapter

David Di Marco
2 Min
QBCC project trust accounts hero
Exclusive

Developers Warned as Commission Cracks Down on Subbie Pay Scheme

Clare Burnett
7 Min
View All >
ADVERTISEMENT
Article originally posted at: https://theurbandeveloper.com/articles/brisbane-living-climbs-steeper