Interactive: Where you can still get a house for $500k

 

In just eight months southeast Queensland buyers are tipped to struggle to find a home priced under half a million dollars.

The stark warning from experts comes as Queensland property continues to boom, with hundreds of buyers seen at open homes, overflowing auctions and record sale prices.

New data reveals there are fewer than a dozen Brisbane suburbs with a median asking price of $500,000 or less, just eight on the Sunshine Coast and only five on the Gold Coast.

And the latest Brisbane areas set to zoom past the half-million mark are Richlands and Zillmere, which sit on the precipice with a median listing price of $500,000.

Suburbs closing in on that $500,000 mark include Durack ($490,000), Ellen Grove ($484,750), Fitzgibbon and Forest Lake (both $469,000).

Market researcher Kent Lardner said the latest real-time asking prices show that by the end of April there will be only a handful of suburbs that will be truly affordable to those trying to enter the market.

Kent Lardner says there may be two suburbs at best with a median under $500,000 in Brisbane LGA before the end of the year. Picture: Supplied
Kent Lardner says there may be two suburbs at best with a median under $500,000 in Brisbane LGA before the end of the year. Picture: Supplied

"It's just really sad for young buyers," Mr Lardner said.

Core Logic's latest projection shows Brisbane's property market increasing around five per cent per quarter.

It means the rest of the suburbs will "fall like dominoes" and leave just two outlying areas in Brisbane's LGA with a median under half a million dollars by December, he said.

"They're all tightening and Inala and Wacol will be the only two suburbs left that will be sitting under half a million by the end of the year and you can almost forget about the Sunshine Coast," Mr Lardner said.

"It's all fuelled by interstate migration, especially people coming from Melbourne with pockets full of cash.

"They have surplus money, once they sell up in Melbourne, and they are more than happy to pay top price for a house and have their money in property to protect their pension."

 

 

Wacol is about 20km from the CBD and home to several correctional centres and, with just 321 dwellings, has a median asking price of $353,500 while nearby Inala is only slightly higher at $365,000.

Every other suburb within the Brisbane area has a median asking price of at least $430,000 (Darra) or more.

Archistar chief economist Andrew Wilson said at the rate the market was motoring along, even Darra would soon be pushing a $500,000 median list price.

"We really shouldn't be surprised because Core Logic projecting five per cent increase per quarter, that's 20 per cent a year, and it's a very strong number, so the days of the $500,000 median Brisbane suburb are numbered," Dr Wilson said.

Property analyst and commentator Dr Andrew Wilson says you have to be very lucky to find house that does not need renovating for under $500,000 in Brisbane’s LGA. Picture: Supplied
Property analyst and commentator Dr Andrew Wilson says you have to be very lucky to find house that does not need renovating for under $500,000 in Brisbane’s LGA. Picture: Supplied

"For instance, the cheapest house on offer in Fitzgibbon is $479,000, which is above the current median, so even if you're looking to buy for under $500,000 you are going to be struggling right now because the asking prices have skyrocketed over the last month.

"Brisbane has had a massive amount of sales this year, around 40 per cent higher than for the same period last year … and this has been an exceptionally strong year for actual sales and some crazy auction clearance rates."

Dr Wilson said you would have to be extremely quick and very lucky to purchase a home under $500,000 that didn't need major renovation.

 

On the Sunshine Coast the cheapest median asking price is Kenilworth, in the heart of the Mary Valley and predominantly a dairy farming area, which comes in at $429,000, while Landsborough, north of the Glasshouse Mountains, sits at $500,000.

Not far behind Landsborough are Burnside ($495,000) and Palmview ($494,990).

"The Sunshine Coast is a very popular area for people coming up from Melbourne," Mr Lardner said.

"The lower-priced houses are very attractive when you consider Melbourne has a median of nearly $900,000."

Besides the Sunshine Coast having single digit suburbs with a sub-$500,000 median, the areas of Redland (six) and the Gold Coast (five) are also running out of cheaper housing.

 

 

At the other end of the scale, there are 40 suburbs within Ipswich with a sub-$500,000 median and 33 within Logan.

"Ipswich and Logan appear to be the only places that will be affordable to young buyers," Mr Lardner said.

The Ipswich suburb of Riverview is the second cheapest on the list with a median of $249,000 while Stapylton, on the northern outreaches of the Gold Coast City Council area, has a median of $179,000 - the lowest of all suburbs.

Mr Wilson said there was one other factor driving up prices and it was not migration.

"There is the FOMO factor, people in fear of missing out on getting in on the market before it gets more expensive," he said.

"Across Brisbane, the median is $580,000 but it won't be long before it reaches $600,000."

 

 

Originally published as Interactive: Where you can still get a house for $500k



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