Brisbane Housing Prices Set to Rise 17%
According to highly respected forecasting company BIS Shrapnel, Australian residential markets are showing emerging signs of strength and Brisbane is set to lead the pack in median home prices. Their report Residential Property Prospects 2014 – 2017 highlights the cities in Australia that can expect to grow over the next few years.
What has contributed to this shift in the market? To be fair, some area markets are still struggling, but looks very much like there is an emerging upward swing. According to the BIS Shrapnel report, this shift in the market is due to a slim market and low interest rates in cities like Sydney, Melbourne, Perth, and Darwin. These same factors are now responsible for the developing upswing in Brisbane. Basically, there are a lower volume of properties to buy and more people able to purchase homes due to the low interest rates. These combined with other crucial factors, such as planned infrastructure spending and the fact that house prices have yet to recover past their pre-GFC highs, signals good conditions for investing.
So, what does this mean for Brisbane?
First, let’s look at the data – where it comes from and what it means.
According to the in-depth report by BIS Shrapnel and analysed by the Property Observer, median housing prices in the Brisbane market are set to grow 17% in the next three years. This is huge during a time where we are more used to hearing about plummeting real estate markets than steady ones. Other cities are also set to grow including Sydney at 10% and Melbourne at 8%.
How reliable is this information?
Since 1964, BIS Shrapnel has been a leader in the business research and forecasting businesses. By using proprietary market research, industry networking, and proven forecasting methods, they are able to fairly accurately predict emerging real estate marketing trends.
According to BIS Shrapnel, their forecasts are based upon “current and emerging trends, rather than media commentary around the 24 hour news cycle, with a three year outlook aimed to identify turning points in the market with a view to identifying where price growth is likely to be, rather than where it is already occurring.”