While “uncertainty” was the key term for all of last year, confidence is returning, albeit slowly, to the Queensland residential property market. Interest rates are now returning to lower levels, which is encouraging first home buyers and investors back into the market.
The latest housing and lending finance figures from the Australian Bureau of Statistics for the month of November showed dwellings financed were up across all buyer types, with total numbers up 15 per cent over the month.
Although numbers are still well below long-term averages, the REIQ remains cautiously optimistic that the Queensland property market will hold its ground over the next 12 months given the favourable interest rate environment and the booming resources sector.
Those buyers starting to make the move now are best positioned to purchase during the current soft market conditions. But when will the cycle take off again? If only we knew! However all current indicators point to good buying while property prices are subdued and interest rates are low.
The REIQ will begin running the December quarter 2011 sales reports this week with the first release of house data scheduled for 19 February in the Sunday Mail.
Yvette Burton, Research Analyst, REIQ