Greater Brisbane market update

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SALES MARKET

Around the surrounding council areas of Brisbane, sales activity has continued to improve since the first quarter of 2013. Preliminary house sales activity was up 14 per cent over the September quarter, with varying median price changes due to the wide range of stock sold within each of these surrounding regions.

The median price for houses sold in Ipswich City remained steady at $295,000. Preliminary sales were up 10 per cent, with activity notably increasing in the $350,000 – $500,000 price bracket. Redbank Plains performed solidly over the quarter, with strong house sales activity and a 5.1 per cent increase in its median house price to $289,000.

Within the Logan City region, the median house price increased by 0.3 per cent to $335,000 over the September quarter. Preliminary house sales activity was also up 18 per cent and although only representing a small proportion of its market, sales in the $500,000 and over price bracket appears to have been increasing since the beginning of the year. While the region did record quite a significant decrease in its unit and townhouse median price, such swings are to be expected in a region that has such a great degree of varying quality in the unit and townhouse stock.

Moreton Bay’s median house price decreased by 4.8 per cent over the September quarter to $360,000. The number of preliminary sales increased over the September quarter by 15 per cent, with a notable increase in the proportion of house sales priced under $350,000 compared to the June quarter, contributing to the quarterly decline in median price. A solid performer was Caboolture with quarterly median house sale price increase of 10.7 per cent to $289,000, on the back of strong preliminary sales numbers.

In the Redland City region, the median house price was recorded at $440,000, down 3.3 per cent. A comparison of preliminary sales shows the number of house sales increased over the September quarter by 8 per cent. There was a notable decrease in the proportion of house sales priced at $500,000 and above compared to the June quarter, including the suburbs of Cleveland and Ormiston, thus contributing to the quarterly median price decrease for these suburbs and the region overall.

RENTAL MARKET

Vacancy levels declined in Ipswich City to 1.7 per cent as at the end of September. REIQ accredited agents noted that lower buyer activity coupled with increased tenant enquiry levels is putting a squeeze on the rental supply. Thankfully survey responses have indicated an increase in investor activity.

Logan City’s vacancy rate remained unchanged as at the end of September, recorded at 1.5 per cent. Additional survey results indicated that the average rental vacancy length was between one to two weeks. Over the September quarter, the median rent for both three bedroom houses and townhouses increased by $5 to $335 and $330 per week respectively, according to the RTA.

The vacancy rate for the Moreton Bay region also remained unchanged overall at 1.9 per cent. Survey responses indicate that properties are taking around one to two weeks to fill and that investor levels have been increasing. After what was described as a very quiet couple of years, Caboolture agents say the increased rental demand in the area is well received.

Relatively unchanged over the past three months, the overall Redland City region recorded vacancy rate of 1.4 per cent as at the end of September. On the mainland, the vacancy rate held steady at 1.0 per cent while around the Bay Islands area, where the rental market is much smaller, this figure fell to 3.9 per cent.