Logan is a stand-out when it comes to unit price growth, according to new report by the Real Estate Institute of Queensland (REIQ), with price of houses trailing not too far behind.
REIQ CEO Antonia Mercorella said Queensland property was “undeniably a good, consistent performer”, and continued to be “alluring and reliable”.
“Logan’s unit market in particular was a standout with 9.17 per cent growth over the quarter, and a solid 11.11 per cent growth over the year to $350,000,” Ms Mercorella said.
“Unit price growth seems to be awakening from a long slumber, as people adjust their expectations and use them as stepping stones into the housing market.”
She said it wasn’t surprising to see units gaining popularity, as they had a “relatively affordable price point” and budget-conscious buyers were “wary of rising interest rates and cost of living”.
“When once upon a time you could find more affordable freestanding houses to buy around the half-a-million dollar-mark with a reasonable commute to the city, we’re now hearing that first home buyers are turning to apartments and units instead.”
Over the past year, statewide median unit prices rose by 3.92 per cent to $530,000, while statewide median house prices rose by 2.07 per cent to $690,000.
In Logan in the same period, unit prices rose by 11.11 per cent and house prices rose by 5 per cent to $630,000.
“The biggest challenge at the moment is people’s reluctance to sell and make the jump to their next property,” Ms Mercorella said.
“Real estate agents are telling us that people do want to sell their properties, but they’re also held back by concerns about what they are going to be able to buy back into in such a tight market – so it’s a frustrating situation for so many.
“On one hand, sellers may need to temper their expectations somewhat from the crazy highs, but equally, buyers who had hoped a bargain was just around the corner will be sorely disappointed as the shortage of stock is keeping the competition hot.
Ms Mercorella said interstate migration and a tight job market were helping to underpin the housing market, with the state government claiming 2000 people move to Queensland every week.
“Queensland property has shaped up to its age-old reputation as a consistent, reliable player, and we expect to see more of the same steady growth as we bring in the new year,” Ms Mercorella said.
