Housing Market Update

Queensland real estate will top capital gains across the country for the next two years, new data shows. The National Australia Bank third quarter Residential Property Survey found Queensland had overtaken Victoria as “the strongest state”.  NAB Chief Economist, Alan Oster, said the state “is doing wonderfully well”.  “It’s warmer than anywhere else”.

Foreign buyers made up 17% of the state’s new property market with owner occupiers and investors at 34% each, and owner occupiers expected to rise slightly next year.  For existing properties, “demand was strongest for houses in the inner city and middle/outer ring and for inner city apartments”.

“Capital growth prospects over the next 12 months improved for houses in all price points below $1million, with prospects assessed as ‘good’ in all price brackets”, NAB said of Queensland.  Major events such as the G20 and 2018 Commonwealth Games would only lift the state’s profile.

Mr Oster said Queensland house prices were expected to rise 2.9% on average next year and 3.2% in 2 years.  (Courier Mail article Thursday, 16 October 2014 by Sophie Foster)