The Brisbane real estate market has responded positively to the decision by the Australian electorate to retain the Coalition Government.
Frank Ham, Principal of Raine & Horne Brisbane West and Kenmore, said already enquiries and sales have picked in the western corridor from inner-city Milton to Moggill since the election campaign finished. “The general sentiment is one of positivity, which is very encouraging.
“We are receiving many more enquiries from first home buyers and investors about entry-level and middle market properties, and the prestige markets are also reacting positively.
“Investors, in particular, have returned in numbers we haven’t seen for 12 months.”
Frank says APRA’s decision to revise the 7% mortgage rate serviceability test has caught the attention of buyers. The regulator is now urging lenders to review and set their minimum interest rate floors when assessing a customer’s ability to service a mortgage. This u-turn by APRA, coupled with the prospect of several interest rate cuts starting in June are underpinning property market confidence, notes Frank.
Unlike in the southern capitals, the arrival of winter is less likely to affect Brisbane real estate activity. “We enjoy very mild winters in Brisbane with temperatures ranging from 15°C - 25°C, which doesn’t impact open homes as it might in the southern capitals. It’s beautiful in winter with crisp blue skies, which make winter a great time to look at real estate.
“It also means we don’t suffer much of a dip in activity between June and September. If the market is rolling along well, winter won’t affect this momentum.”