Queensland market bounces back with late year rally

DECEMBER 28, 2019

After a hesitant start to 2019 due to the Federal Election, Queensland homeowners have enjoyed a stronger finish to the year with values in Brisbane up an average of 1.8% for the quarter ending 30 November.

In Shailer Park, south of Brisbane, Mark Evans, Principal of Raine & Horne Shailer Park says it often takes six months for local markets to recover from the fallout from elections. “The 2019 Federal Election was no different and the market stalled until polling day in May,” Mark commented. “We’re now seeing the market starting to bounce back. By February of next year, everyone will have totally forgotten about the election and will be back in full real state buying and selling mode.”

The late-2019 bounce will continue next year with the digital and neo banks putting the squeeze on the market share of the major lenders whether it’s SME lending, personal loans, or mortgages. Mark explained, “Consequently, to defend their balance sheets and market share, we expect to see less mortgage red tape in 2020 from the majors, which will enable more buyers to get into affordable real estate markets in Logan City such as Shailer Park.

“The combination of political stability and freer bank lending will ensure 2020 is a good year with no interruptions for the local real estate market.”

In southern Queensland, grey nomads from NSW drove local property sales in 2019. “Downsizers from Sydney travelling with caravans and who had previously holidayed at Hervey Bay, were a large percentage of the buyers in our market in 2019,” said Graham Cockerill, Principal Raine & Horne Hervey Bay. “These older buyers drove demand for recently built three-bedroom houses on smaller blocks in Hervey Bay, Urraween and the surrounding suburbs priced between $350,000 -$450,000. Despite their smaller sizes, the blocks still have enough room to park a caravan.” 

To illustrate, Raine & Horne Hervey Bay has listed a new house at 13 Hudson Drive, Urraween. “This brand-new house is selling for $479,000 and is within walking distance of Hervey Bay Hospital and St Stephens Private Hospital and has plenty of space to park a caravan making it a perfect property for a downsizer couple.”