But the debate rages on just how much we will grow. And if you believe everything you read in the media we’re simultaneously booming, dropping and turning a corner.
In the space of just one week we read the following headlines:
- The Tide is Turning for the Brisbane Property Market
- Will Interstate Immigration Impact Queensland Property Values?
- Queensland’s Million Dollar Club Booming as Home Values Surge
- Greater Brisbane House Prices Fall
Confused? We don’t blame you.
So let’s take a look at some facts, courtesy of local guru Michael Matusik in Property Update.
Queensland’s population is growing, and interstate migration is increasing.
Brisbane’s annualised dwelling growth to January of 2.1 per cent, placed it on par with Sydney, which also recorded 2.1 per cent after years of superheated growth.
Annual wage growth in Queensland to September 2017 was 2.2 per cent, placing it on par with Victoria and New South Wales.
If we put these facts together we see a reasonably OK picture. Population growth leads to increased demand and in turn can see prices rise.
Matusik believes the magic ingredient Brisbane needs to ignite a boom is wage growth. While we continue to see modest wages growth, our capacity to repay a home loan remains about the same.
So while you can expect to see some property price growth, your pay packet needs to boom before property prices will.