A new report expects positive results for one key area of Brisbane, with forecast growth figures of up to nine per cent.
SQM Research’s Brisbane Housing Boom and Bust Report 2013/2014, released yesterday, showed signs of positivity in the market. This comes as experts suggest Brisbane may be our next investor hotspot.
Over 2013, the expectations are that Brisbane CBD will lead the way on growth (four per cent to six per cent), almost matched by East Brisbane (three per cent to six per cent).
Over 2014, however, the market looks set to see some momentum develop. East Brisbane has forecast growth sitting at four per cent to nine per cent, while Brisbane’s CBD will span five per cent to eight per cent.
Other areas of Brisbane appear to be receiving sluggish forecasts, up to six per cent highs in either year.
SQM Research’s managing director, Louis Christopher, said that “Brisbane housing prices have now stopped falling. However, we see no emerging property boom because there is simply too much real estate on offer for buyers right now and local economic conditions do not provide any stimulus for such a rapid rally.
“Nevertheless, a modest to moderate rise in dwelling prices makes for a more sustainable and enduring recovery, which is what is going to be the most likely outcome for the local market.”
Previously, in the September 2012 Housing Boom and Bust Report, predictions for house prices in Brisbane were for rises of between three and seven per cent over 2013.
Revised downwards in the most recent report, capital growth expected for houses overall sits at two to five per cent, while for units it sits at three to six per cent.