In Episode 297 of the Brisbane Property Podcast, we break down the latest March market data and what it means for buyers and investors in Brisbane.
- Brisbane houses rose 1.7% and units increased 2% for the month
• Strong demand and low supply continue to place pressure on prices
• Brisbane is outperforming softer markets like Sydney and Melbourne
• Rising interest rates and weaker consumer confidence are creating new headwinds
• We share what to watch next and where opportunities may still exist
Tune in to EP 297 Brisbane Property Podcast for a clear update on where the Brisbane market stands right now.
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Transcript
0:00: It’s market update, and it’s the March property update in Brisbane, and we’ve seen Brisbane positioned as one of Australia’s strongest performing property markets.
0:08: Houses are up 1.7%, units are up 2% for the month.
0:12: We’re going to unpack this and more in today’s episode of the Brisbane Property podcast.
0:16: Hello everyone, and welcome back to the Brisbane Property podcast with Scott and Melinda Jennison, and it’s.
0:21: Market update for March.
0:22: Yes, it is.
0:23: It seems to come around very quickly, and here we are yet again at the beginning of another new month, which means we have now had the opportunity to analyze all of the data from March, which remember represents settled sales that would have taken place in February, and a very strong month has been.
0:43: for Brisbane, much stronger than other East Coast capital city markets, so we’re really wanting to unpack this today, but also we are going to address the fact that times are changing.
0:54: We do have, you know, some headwinds, and we’re going to tackle those headwinds in today’s episode as well.
1:00: And March, obviously, the, the data we’ve got here, I mean what we’ve seen, obviously Brisbane, Performing very, very strong, as we probably expected and really reinforcing itself as, as one of the strongest performing markets in Brisbane in in Australia, I should say.
1:15: really strong, a lot of competition.
1:17: We will jump into some numbers, but, you know, we’re still seeing multi-offs on properties, strong, auctions, really, really tight market here with very, very high demand and not a lot of supply.
1:28: Yeah, but there are some cracks that are starting to show, and we do want to address this today.
1:32: It’s not all.
1:34: Looking forward.
1:35: However, you know, at this stage, we don’t see the property market, retracting.
1:41: We still see growth ahead, and that’s an important point to raise at this point in the podcast.
1:45: But looking backwards, in the last five years, the Brisbane market, in terms of dwelling values, has increased 85.3%. It’s no wonder that buyers in the market today are really struggling to understand value when the market has shifted just so rapidly in such a short space of time across.
2:03: 5 years to experience 85.3% growth is quite outstanding, to be honest.
2:09: And it’s one reason why a lot of people continue to ask us, you know, are we at the market peak?
2:14: Are prices going to fall away?
2:17: How sustainable is this growth?
2:18: And these are the sorts of things that we want to always talk about and address here on the Brisbane Property Podcast, and through some of our most recent episodes, we’ve really talked about that supply crunch, and the fact that it’s very difficult for property developers.
2:33: To deliver new dwellings to the market as well.
2:36: So we are in a structural undersupply at the moment, and that’s one of the reasons that we’ve got this strong upward pressure on prices that continues to escalate month to month here in Brisbane.
2:46: I must admit, about just made me think then, if you go back to that 5 years ago, maybe you need to go back on some of our podcasts and see what we were saying at that time, but I, I do remember some of the banks, the big banks coming out and saying property prices in Brisbane are gonna drop 30, 40%.
3:03: Yeah, post-COVID, and I mean 40% drop, and yet in this five year period, as you’ve just said, Brisbane’s gone up 85.3%. So it goes to show how sometimes economists’ predictions don’t always play out on the ground, certainly not, what we have seen and what we have experienced.
3:20: It really comes down to not just understanding from a, a level of economics, but understanding from a level of supply, what’s coming, what’s being built, what’s being listed for sale.
3:31: and overlaying that with what we’re actually seeing in terms of buyers turning up to properties to buy.
3:36: That’s the demand that’s in the market.
3:38: And yes, demand is impacted by so many things, which we’re going to touch on right now.
3:42: It is impacted by rising interest rates.
3:44: It is impacted by the fact that there’s international unrest.
3:48: It is impacted by the fact that the cost of living is increasing, fuel prices are increasing.
3:54: All of these.
3:55: These things do matter for property buyers, but it causes some buyers to sit on the sidelines.
4:01: It doesn’t cause all buyers to sit on the sidelines, and that is the biggest thing for people to understand here in Brisbane.
4:08: We’re certainly not seeing all buyers wait.
4:11: We are still seeing a high volume of buyers that are still active in the market, although I’ll say that a lot of them are more cautious.
4:19: And they were 5 or 6 weeks ago, so perhaps the pace of sales may slow down in the months ahead.
4:25: The other thing which you didn’t touch on just then is construction costs as well.
4:29: So when we’re talking about properties coming to the market, I mean that is another thing that we’re struggling with simply because of the cost of construction and getting those projects out of the ground.
4:38: I think you’ll correct me, I was going to say 40%, but I think you said it was 39%.
4:43: Literally PVC went up on the 1st of April.
4:46: it wasn’t an April Fool’s joke.
4:47: Unfortunately, plumbing plumbing materials goes up, you know, 39% literally on that day and and that’s, that will go probably across the board I would have thought on a lot of materials when it comes to construction.
4:59: So again, bringing new product is very difficult, so the established pressure on those listings as well.
5:04: You did touch on interest rates when you said one of the pressures that we’re sort of seeing at the moment apart from unrest around the world, but yeah, interest rates we’ve we’ve seen some rises from the RBA.
5:16: Yeah, so.
5:17: Obviously, already in 2026, there’s been 225 basis point increases, one in February and the second again in March.
5:26: So, the cash rate now sits at 4.1%. Of course, the retail rate, that is what borrowers are having to pay in terms of interest, that rate is well above the cash rate.
5:37: You’re looking at around 6% interest rates for many property buyers.
5:41: Obviously, as an owner-occupier, those rates are typically a little lower, but for property investors, they are a little bit.
5:47: Higher in anyone borrowing, potentially in other structures, especially in self-managed superannuation fund structures as an example, the interest rates are much higher yet again.
5:58: Now, obviously, the RBA makes these decisions based on inflationary pressure, and that’s been building significantly, especially throughout the latter half of 2025, but absolutely more recently because of the war over in the Middle East.
6:13: Now, of course, that’s putting pressure on fuel and causing inflation.
6:17: pressure on many other goods and services around Australia.
6:21: So, the RBA have taken that move to increase rates in March, but we do expect that there will be further rate hikes this year, and time will tell how soon they do come into effect.
6:32: And this will have an impact on some buyers, especially those buyers that are relying on borrowed funds to purchase property.
6:40: I will make a point of saying that many buyers in the market at the moment, we cannot underestimate the number of buyers that are.
6:47: Purchasing with cash.
6:48: Perhaps they’re downsizes that, are not relying on borrowed funds.
6:52: So every time interest rates escalate, it doesn’t necessarily mean that it impacts demand for all buyers, and that’s something to be keeping in mind when you’re seeing those news stories that do look scary.
7:02: There’s lots of headlines out there that are suggesting that, you know, that interest rates will keep escalating.
7:08: It does not mean that all buyers are impacted, and in fact, some of those baby boomers are really rubbing their hands together as interest rates increase, because their money’s, Sitting in high interest savings accounts, so as interest rates increase, it means they have more income coming in.
7:21: Consumer confidence, obviously that’s another thing then that comes in play once we start to talk about things like the Middle East conflict and obviously interest rates.
7:29: So obviously, I, and I think there’s a, the ANZ Ray Morgan Weekly Consumer confidence index, it fell slightly as well.
7:36: It fell a lot actually.
7:39: So, it actually fell to its lowest reading on record throughout March, and this is a level that’s not been seen since the Series commenced back in 1973.
7:49: So, this is big news.
7:50: Basically, it simply means that consumers are lacking a lot of confidence.
7:56: They’re, they’re being driven by anxiety because of things like the Middle East crisis, rising energy costs, and the prospect of further rate rises.
8:04: So, what that does is it impacts on people’s confidence, and, of course, when people are not feeling confident, they’re not actually wanting to make big life decisions, like purchasing real estate.
8:14: And that consumer confidence.
8:16: Index can actually have an impact on demand in markets around the country.
8:21: So, it’s something that we’re watching closely, as I said.
8:24: Demand has softened slightly throughout the weeks of March here in Brisbane, but not enough that, that we haven’t sort of seen that, that consistent pressure on prices, because there’s still more buyers and sellers in the Brisbane market because of low stock.
8:37: Yeah, definitely.
8:38: The other, I know we did touch on I did go there a little bit earlier when I was talking about forecasts, when I said, but SQM Research, they’ve they’ve revised their 2020.
8:46: Six national housing forecasts, obviously off the back of all the pressure that’s been happening everywhere.
8:52: interesting, so Brisbane itself, they expected it to rise between somewhere between 10 and 15%, and they’ve actually adjusted that now to 7 and 11% increase.
9:03: Yeah, so this is the Louis Christopher report that is put out in November each year.
9:08: So back at the end of 2025, he was projecting that Brisbane would rise between 10 and 15%.
9:15: He actually projects, Various scenarios based on interest rates remaining stable, or interest rates moving, and he provides a base case where Brisbane was to increase between 10% and 15% throughout the months or the year of 2026.
9:28: So, that has been revised down.
9:31: The same report now expects Brisbane to rise by between 7 and 11%, which is still above our long-term average.
9:38: And that is the important point I want to make.
9:40: It is still growth that exceeds our long-term average.
9:44: Now, in contrast, and this This is a critical piece to take away from this report.
9:49: Previously, the projection for the weighted capital city average, so that’s all across Australia, was for property values to grow between 6 and 10%.
9:59: Now, with the revision down, that forecast is for growth at a national level to be between 0 and 3%.
10:07: So that’s a big change, and there’s a lot more pessimism in some other markets around Australia that’s dragging that weighted average down.
10:16: And just to be, I guess, a little bit more specific, the forecast for bigger cities, for example, Melbourne, has been downgraded to show growth of-4 to-1%.
10:29: So that’s actually a decline in values over the 12 months of 2026.
10:34: We have already seen this.
10:36: Play out in the first quarter’s results, which we can touch on today.
10:40: And in Sydney, growth is expected to be negative for the next 12 months, for 2026, of between 6 and-2%.
10:48: And again, in Sydney, we have seen that already play out based on the first quarter’s data.
10:54: So, the big difference here is that what being projected for Brisbane, whilst there has been a downgrade, it is still for growth that is exceeding our long term average, whereas that is not the case in other big capital city markets like Sydney and Melbourne.
11:08: I think those numbers are really important.
11:09: We do talk to a lot of people in Sydney and Melbourne.
11:13: We have clients that come from Sydney and Melbourne, an inquiry that come from Sydney and Melbourne.
11:17: And what they’re seeing is completely different and I think that’s that’s something that some people probably maybe don’t understand.
11:24: When they see national headlines, generally it’s based probably, I mean sometimes it’s headlines to get people to click and and read the headlines and read the news, but a lot of it is still based around Sydney and Melbourne.
11:36: So generally what we’re seeing is negative forecasts.
11:40: We look at places like Brisbane, Perth, Darwin, there’s different, there are really different markets.
11:46: That’s right.
11:46: There’s markets within markets, and of course, we talk a lot about how different Brisbane is to other capital city markets every single fortnight when we record this podcast, and that is one of the reasons why we started to talk into a microphone to talk about Brisbane, because it is different, and we do have different drivers for growth.
12:02: But let’s talk about Auctions.
12:03: Because again, I think that’s another area where Brisbane is a little different.
12:07: Remember, Sydney and Melbourne are largely auction markets.
12:11: Brisbane has seen an increase in the volume of auctions over recent years.
12:16: However, primarily, the majority of our properties are transacting and do transact by private treaty sales.
12:23: So, when we look at auction clearance rates, Obviously it gives an indication of what might be happening in a certain segment of the market, and typically that’s going to be more of the middle or upper segment of the market, not necessarily what might be happening at the more affordable end of the market.
12:38: Yeah, I mean clearance rates there, it eased a little bit, 65.55% through March, which is down slightly from February, which is 70.4%. It, it’s still higher than, than at the same time last year as well.
12:53: Yeah, and I think that what I’d like to say is that, you know, our team are out and about at auctions every single Saturday, so we’re observing what’s happening, and we do attend in-room auctions during the week as well.
13:04: What we’re seeing play out is this, there’s still a volume of registered bidders turning up to register at auctions, and remember, here in Brisbane, you Do need to be registered to be a bidder.
13:13: So, we’re still seeing registrations happening.
13:16: However, sometimes, if an auction is passing in, it’s not because of the willingness of buyers, or the fact that there are no buyers.
13:23: It’s simply because the seller’s expectations are higher than where the buyer bidding completes.
13:29: So, that gap between a buyer and a seller seems to be widening in Brisbane in that.
13:34: Auction market.
13:35: Now remember, because a lot of buyers cannot bid under auction conditions here in Brisbane, it is not uncommon for a property to pass in at auction and then later become a property that sells under a private treaty sale.
13:49: So, quite often, a conditional buyer may actually place an offer after a property passes in, and they may have a finance clause that they put on, To that offer, which enables them to obtain a valuation after a contract is entered into.
14:03: So, this is where the method of sale, and, and how Brisbane sales, operate compared to other cities can actually vary, and it’s another reason why, looking at numbers alone doesn’t always tell the full story, because we’ve seen many occasions where properties have passed in at auction.
14:20: And they’ve sold for a higher price than where the auction bidding may have finished, but they’ve sold to a conditional buyer.
14:26: Now that doesn’t always happen, but it does happen sometimes, and it’s an important part of the discussion for people to understand.
14:32: I think also people understanding that the different price brackets as we move up in the lower price brackets, so you get to the 1 mil to 1.5, even towards 2 mil, we’re still seeing.
14:44: A lot of people register and a lot of interest in, as you get in auctions, as you get a little bit higher than that, we start to sort of dwindle out a little bit in numbers.
14:53: We’re still getting good numbers and as you said, most properties if they’re not selling at auction, they’re probably selling post auction.
14:58: That’s right.
14:58: Recently we’ve seen some really high-end properties selling here in Brisbane at auction.
15:03: I know one, I think it was last weekend we went to, there was over 10 registered.
15:08: There was at least 5 or 6 people bidding at that, actively bidding, and that went well above, I know, I, I did hear what the reserve was and I know that it went above the reserve, so, yeah, we’re still seeing a lot of activity that way and what we’re probably seeing is, as you said, There’s very keen buyers, but then sometimes the gap between the vendor’s expectations is, is what we’re seeing that sort of stumble, before the property goes into negotiation possibly, and then hopefully a result from it.
15:34: We’re still seeing pretty good results that way anyway.
15:37: Yeah, so listing volumes, this is the big story here in Brisbane because this relates to supply, and they do remain close to historical lows.
15:45: So throughout March, we saw about 13,000.
15:49: 800 total listings throughout Greater Brisbane.
15:53: Now, compare that to our long-term average, which sits somewhere around 28,000 to 32,000.
15:59: So, we have a structural undersupply.
16:02: That said, we did see a very small uptick in total listings between February and March, but not enough to make a meaningful difference whatsoever.
16:11: This is in stark contrast to cities like Sydney and Melbourne where listing volumes are.
16:16: In line with long-term averages, and that’s why I wanted to just give some raw numbers there, to really differentiate what’s happening in Brisbane.
16:23: And it’s one of the reasons why we still see this escalation in prices at a time where Sydney and Melbourne prices are actually going backwards.
16:31: So, you know, we’re still seeing about 40% of, property investors applying for finance for purchases here across Queensland.
16:40: So, a lot of investor activity.
16:42: That number may actually Fall away slightly, especially at this time where we have some policy uncertainty for investors around negative gearing changes and capital gains tax changes.
16:53: So, you know, these are some of the things that are the headwinds that could slow down some of that demand, but there’s certainly still a volume of buyers that are active in the market that are less impacted by those types of policy changes as well.
17:06: First home buyers as well, they’ll represent 27.3%. That’s up actually from February.
17:12: It was 25.3%. So it’s, it’s actually gone up a little bit.
17:15: And that’s driving that, the demand really in that sub $1 million dollar bracket, which was obviously through, first home buyer incentives that were put in place by the government as well.
17:24: That’s right, and it’s not surprising to see that first home buyer activity pick up because of the grants that are in place in that first home buyer guarantee scheme as well.
17:33: Dwelling values.
17:34: Now I know, I know we don’t love to talk about dwellings, we like to break it up into.
17:37: Houses and units because that gives you a real insight of what it is.
17:41: But dwelling values, obviously we’ve seen an increase in March overall growth of 1.8%, quarterly growth 5.1%, and annual growth of 19%.
17:51: And that is the totality data.
17:53: Prop track also shows that there’s been positive monthly price growth for dwellings of 0.7%. So, you know, we’re definitely seeing all data sets actually pointing to that positive growth in dwellings.
18:05: Importantly, let’s breakdown which segments of the market are outperforming, and it’s probably not a surprise to anyone that it is the more affordable end of the market that is still showing the greatest rate of growth here in Brisbane.
18:20: So when we break that down, the lowest quartile, that’s the lowest 25% of property values, they rose 6.4% in the quarter up to the end of February.
18:31: The middle 50% of property values gained 5.5%, and the top end of the market grew 3.4%. So you can really see that growth sitting in that lower percentile, that lower quartile.
18:45: It, it really is that segment of the market that’s leading growth across our city.
18:50: And remember, these are dwelling values, so that’s also capturing a lot of Unit and townhouse segment of the market, and as you will find out as we keep talking about the data, the unit segment is still outperforming the house segment.
19:03: So we need to be mindful of that skew within the dwellings data that exists in what we’ve just reported.
19:09: House values, and keep these numbers in mind, so people that are looking for houses, Greater Brisbane, we’ve seen the median house value.
19:18: Go to 1.207718 in March, so we’re over 1.2 million up from February, which was just under 1.175.
19:27: So that’s monthly growth of 1.7%, which is an increase again from February by 0.0.2%. Quarterly gain improved to 4.9%, and annual growth 18.5%. So really strong in that housing market as well.
19:43: And look, if I can just unpack that a little more, because, as I said, a lot of Our clients may be in Sydney and Melbourne, and, and certainly people that we speak to, are located in Sydney and Melbourne, and a lot of the national news headlines and property headlines are related to the Australian property market, which predominantly is made up of transactions in Sydney and Melbourne.
20:03: Over the month, both Sydney and Melbourne actually fell backwards in value.
20:08: Over the quarter, both markets actually declined.
20:11: And annually, Sydney gained 5.3% value in the house market, Melbourne gained 4%.
20:18: That’s over the last 12 months, compared to Brisbane at 18.5%. Now, that is a stark contrast.
20:25: It is a huge difference, and people that may be only hearing national headlines and not understanding local market conditions will really get that bias in, in what is actually happening.
20:37: I will say Brisbane wasn’t the top performing capital city market over the last 12 months in the housing sector.
20:43: Perth actually holds The number one position with 24.1% growth.
20:48: So Perth is really firing with the same issue that we have here in Brisbane, being an undersupply or a, a listing volume issue.
20:55: And Darwin also performed well over the last 12 months as well.
21:00: So, Brisbane’s still one of those top three capital city markets in terms of housing over the last 12 months.
21:05: Yeah, unit values, and this is no surprise.
21:08: I think when this, when all this, before this data comes out in our office, I think I’ve mentioned it before, we all have a little bit of a, a punt on where we think it’s probably going to sit and look, there’s no surprise that everyone in our office, and they all know the market obviously quite well, is sitting units just above houses, and we have for quite a while.
21:25: So the median unit value for in Brisbane, 865,548 in March.
21:32: That’s up from February, and we’ve seen that growth of, 2%, which is really big numbers, 2% quarterly, 6.1%. And annually 21.5% for units.
21:46: So that compares to 18.5% growth in the housing sector.
21:50: So a really, you know, a big difference between the two segments of the market.
21:54: But looking at Brisbane’s 21.5% and comparing that to Melbourne’s annual growth in the unit market at 2%, and Sydney’s annual growth at 3.5%, you can really see why a lot of people are confused when we say, look, the unit market in Brisbane is outperforming the house market and That has been a consistent theme here for the last 2 to 2.5 years, whereas that’s not been the theme in the big capital cities.
22:20: Leading ahead of Brisbane in terms of annual unit market price growth is Perth at 26.1%. So Brisbane’s sitting in second place there in terms of annual growth in the unit market.
22:32: And I know we’ve talked about this before, and this is where the unit market really does, does push and continue to go up is we just don’t have enough units.
22:41: That’s right, very different.
22:42: Gained very different other capitals.
22:44: We just don’t have the units, and we’re not building the units of this level.
22:48: That’s right.
22:49: The units they’re getting built are higher end units, much more expensive.
22:53: So this is the problem that Brisbane has at the moment.
22:55: Your established units, we just, we don’t have enough of that sort of price, price range, I should say.
23:01: and that’s what’s really putting that pressure on.
23:03: And I, I can’t really see that changing too much.
23:05: They’re still buying below replacement value, when it comes to the unit market across the city.
23:10: So let’s talk about the rental market.
23:12: Now, because, obviously, you know, there’s going to be some nervous property investors in the next few months leading up to the May budget, where the proposed capital gains tax and negative gearing changes will be announced.
23:25: But we’re definitely still seeing a lot of investor activity, regardless.
23:28: And in fact, we’re seeing some investors taking a more bullish approach and wanting to purchase before that May budget, because they’re hoping that whatever comes in is likely to be grandfathered.
23:40: Now, that’s not something that We know it’s not something that anyone knows, but I guess if there’s going to be a surge in demand, if they grandfather and set a date for when, you know, the, the new rules will apply, they don’t want to be a part of that surge in demand, because obviously, once the new rules come into effect, demand for investors may drop off if there’s going to be a set date provided.
24:03: And if you’ve got something to rent, you’ll probably rent it in Brisbane.
24:07: We’ve recorded 0.9%, vacancy rates in Brisbane.
24:12: so very, very tight on that side of things, and we’ve seen, an accelerated increase in, in rent as well.
24:18: So 6.7% in March.
24:21: Yeah, that’s up from 6.3% in February.
24:24: That’s the house rent growth over the last 12 months.
24:26: But I will say, annual unit rent growth, it was also 6.7% throughout March, annually.
24:33: That was a slight easing, because it was 6.8% at the end of February.
24:37: So, both segments of the market now showing similar.
24:40: annual rates of growth in terms of the upward pressure on rents, which is tough for those people who are tenants that do rely on rental accommodation.
24:48: Obviously, you know, that’s eating into their household budget, because the rental price growth is much, much stronger than CPI generally speaking.
24:58: But this also continues to contribute to the inflationary pressure on CPI overall.
25:03: And obviously, if you’re can help obviously our listeners as well, and most of them will probably understand, but With the amount, the acceleration of the prices and the increase of the price value compared to the increase in the rent, it’s, it’s tightening up our yields a little bit.
25:18: So that’s house, houses are currently sitting at 3.1% gross, and that’s down from 3.2% and units are yielding 3.9% and that’s down from 4%.
25:29: Yeah, it’s getting tougher for.
25:30: Property investors.
25:31: Basically, their costs to hold properties are increasing at a faster rate than the rents are covering those costs.
25:38: But also, for new investors getting into the market, yeah, the cost to buy in is appreciating at a faster rate than rents are growing.
25:46: So, you know, and we now have the headwinds of, you know, policy change for property investors, and I guess the real Concern there is that if property investors stop actively participating in the market, the supply of investment properties for people that need to rent may actually fall.
26:03: I, I know that there’s a big argument for the fact that for every investor who doesn’t buy, that’s, that’s an owner-occupier that gets into the market.
26:09: That’s not always the case.
26:10: That, that may be the case in a market that’s not growing in population.
26:14: But it’s not necessarily the case in the market where there’s, there’s simply more buyers than there are sellers.
26:19: So I think that that argument, it can be flawed, but it’s a feel-good argument for those that have an anti-property investor mindset.
26:27: In a bit of a summary, and before I jump into that, what we’re probably seeing here, just for our listeners, are people that really wanna buy a property are buying property.
26:35: People that are a little bit scared and a little bit hesitant, they’re they’re sitting on the sidelines and watching.
26:40: As the markets and the market is continuing to go up, so we’re probably seeing that number of buyers is probably the very, as I said, the very, the very, very, very serious ones.
26:51: They’re, they’re very keen, and as you mentioned earlier, Melinda, some of them are talking getting in before May before any policy announcements are made by the government, But again, what we’ve seen, I guess if you do a bit of a summary is, you know, we’ve seen really strong headlines for Brisbane and increasing to grow in the property interest rates you touched on, and a little bit of unrest in the Middle East as well, which is a bit of a concern for the confidence of people.
27:12: Yeah, of course, so record low consumer confidence, international instability, of course, political uncertainty.
27:18: Obviously we’ve got the interest rates increasing.
27:21: These are all genuine headwinds and.
27:23: Let’s not underestimate the impact that they may have in the coming months.
27:27: And, in fact, we’ll be watching closely throughout April to see what the trend has been like for settled sales, because this will reflect activity for contracts entered into in March, because the typical settlement period here in Brisbane is 30 days.
27:41: So, at this stage, you know, based on what we’ve observed, we do expect that growth will still be positive, but perhaps the magnum.
27:48: of that growth may not be as strong as we saw in the March results, because fundamentally, the drivers of Brisbane’s market are still there.
27:56: We still have very low, critically low supply.
27:59: We don’t have enough properties available to buy because those listing volumes are so low.
28:03: But, yes, we will see some buyer activity ease.
28:07: There’s still sufficient demand in the market from what we’ve observed in the last 4 to 5 weeks since the war has broken out in the Middle East, there’s still more buyers on properties than sellers.
28:18: Perhaps instead of seeing 10 or 15 offers on a single property, we might only be seeing 5 or 6 offers on a single property, and that’s the difference.
28:26: So, the volume or the depth of buyers has eased, but because we simply don’t have enough to buy, we are still seeing more buyers than sellers in the market, and whilst we are in these conditions, Prices are likely to still escalate, although at a slower pace.
28:41: One other thing for our listeners, some really exciting news, I think, and that has come out recently in Brisbane as well is the plans and the commencement of all the Olympic venues.
28:49: So Victoria Park, where the, the main Olympic stadium, Brisbane Stadium I think it’s called, the main stadium will be built, that is actually getting fenced off, I believe, first of June 1st of June.
29:00: I was gonna say May.
29:01: but yeah, they’re, they’re about to fence off all of V Park.
29:04: Construction’s about to begin there, so they’ve got some drawings, they’ve got some concepts that have come out which looks amazing.
29:10: Over at the Gabba, where they will actually, build the entertainment precinct over there.
29:14: That looks incredible as well.
29:16: Then you’ve got the aquatic center and those things.
29:18: So look, it’s it’s exciting times.
29:20: We are a few years away, but it’s going to take them about 4.5 to 5 years, I believe, to approximately to build an Olympic.
29:26: Stadium.
29:27: So it’s really exciting times.
29:29: I think now we’re starting to get a little bit excited here in Brisbane that’s, it’s all starting to happen and it will start to move ahead.
29:35: And I think watch this space.
29:37: It’ll be it’ll be really exciting to see not just those, but what other infrastructure happens around them as well.
29:42: Yeah, I think the biggest concern is the cost blowouts as the construction costs continue to escalate.
29:47: I think some of those budgets that, you know, we had in place for construction costs of this big Olympic infrastructure.
29:52: May blow out even further, given that construction costs are escalating, and, of course, you know, that’s no one’s fault.
29:58: It’s just a result of the war that’s unfolding around us.
30:01: So, hopefully, you know, that will resolve for us all soon as well.
30:05: That will eliminate, some of those headwinds, but obviously, the effects of, you know, the war and, increased fuel prices will stay within the economy for some time, and, you know, that takes a little while to recover from.
30:17: So, You know, overall, I think that we definitely will start to see some easing in the pace of growth.
30:24: We certainly don’t expect that prices will stagnate or even fall at this stage in Brisbane.
30:30: There’s simply not enough supply, unless we see a huge increase in the number of sellers coming into the market.
30:36: That’s going to be very unlikely in areas that are dominated by owner occupiers, because they need a home.
30:41: They’ll simply not go on their international holiday.
30:44: Perhaps they can’t anyway, if they’re flying through the Middle East.
30:46: Instead, they’ll focus on, you know, paying their mortgage.
30:50: Alternatively, in areas that have been dominated by investor activity in recent years, perhaps there may be some sell-off opportunities there, as investors, you know, really consider their, their circumstances, and if there’s not an owner-occupier.
31:04: In those locations that can afford to pay what that investor may have paid, then that’s where we might see some price softening.
31:11: So, certainly not a uniform concern across our city.
31:14: It’s going to be location-specific as we move into the future, but, obviously, that’s what getting professional advice upfront can often, you know, be a huge benefit to you as a property investor, but also as a home buyer, just So that you can understand the circumstances of the, environment that you’re buying into as well.
31:33: Yeah.
31:34: Well, that’s a market update.
31:35: Hopefully that’s been, well, not entertaining, but educational and entertaining’s fine, yeah.
31:40: But hopefully that’s given you a bit of insight of what’s happening here in beautiful Brissie.
31:44: Look, if you need help or you’re interested, reach out to the team at Streamlined Property Buyers.
31:47: We’re here to chat and we’re more than happy to help people and understand what’s going on as well.
31:51: As usual, I will let Melinda wrap things up from myself, take care everyone, we’ll talk soon, and bye for now.
31:57: Thank you once again for joining us on the Brisbane Property Podcast.
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32:19: Until next time, we hope you have a good couple of weeks, and we will be in touch again then.
32:23: Bye for now.