Real estate buyers flock to Brisbane due to sky-high prices in Melbourne and Sydney

Investors are steadily taking an interest in the southeast Queensland belt when it comes to buying real estate and even land parcels as per the latest reports. There is a major influx of foreign and southern investors alike who are shifting to Brisbane after prices have increased in Melbourne and Sydney as per several studies. Experts have stated that the growth in land values has been steady and consistent in southeast Queensland over the last three years. The rise in population has also been more than Melbourne and Sydney.

The median land price in Melbourne has already overtaken the figure in southeast Queensland in the March quarter of this year and this is the first time something like this has taken place. This development came about in spite of record sales volumes being posted by the region. The median price in southeast Queensland stood at $266,052 while Melbourne witnessed a surge in the same to $287,565 and prices in Sydney are more than double of these numbers according to experts.

Several experts have testified to a higher number of enquiries from offshore and interstate investors with regard to land development opportunities and other projects in Brisbane on account of its affordable prices in comparison to Melbourne and Sydney. The low rates of interest and discounts on stamp duties for new house and land sales has also spurred demand in this entire region. Southeastern Queensland has always been comparatively affordable with the median prices not witnessing frantic movements even when the overall sizes of lots continue going down.

Volumes have also been steady and demand has gone up in the outer southern and northern corridors in Brisbane and also in the Brisbane metropolitan zone. Demand has also increased in the western corridor in tandem with Ipswich. As per the latest reports, 10,511 units of residential land have been sold in southeastern Queensland in the 12 months leading up to March, 2017 which is a record of sorts and represents growth of 2.84% in comparison to the earlier year.

The average annual sales volumes stand at 10,372 units for the last three years, which is higher than the 15-year average volumes of 5,756 units annually. The Sunshine Coast and Gold Coast regions have spurred huge demand in tandem with sizeable demand in Ipswich and Brisbane. There is sizeable migration from other states to Queensland and Brisbane in particular. This migration of people from other states is expected to continue and demand will keep going up for residential developments in Brisbane and the rest of southeastern Queensland according to experts.