In the first quarter of 2022, Brisbane’s apartment and house market maintained a positive sentiment reflected by increased valued. Compared to 2021, house prices increased by 36% reaching a median price of $1,030,000. Thus, resulting in an impressive price growth and extended the value gap between houses and apartments.
Brisbane apartments continue to present increasing affordability to those seeking an alternative to house in the 5km inner Brisbane radius. This market achieved 7.9% growth from 2021 March quarter to reach a median price of $480,000. This breaks the all time high of $473,000 in September 2015, which was the peak of the Brisbane’s apartment boom that ended in 2016.
The first quarter of 2022 apartment sales fell approximately 7% in the March quarter compared to houses 29%. This was driven by the affordability gap, the resurgence of interstate migration and the rise of owner-occupier buyers.
Blow out construction cost looms over the new apartment market. Both developers and construction companies are grappling with escalating prices and unreliable supply line of materials.