Housing demand in Queensland is predicted to surge next year, with its southeast corner being a top spot for potential sea changers, says an expert at McGrath Estate Agents.
Home values in Queensland, particularly in Brisbane, have demonstrated resilience amid the pandemic, said John McGrath, executive director of McGrath Estate Agents.
In fact, the median home price in Brisbane remained practically unchanged between March and October, while prices in Sydney and Melbourne declined by 2.9% and 5.5%, respectively. The latest figures from CoreLogic even show a 0.5% in Brisbane's median price so far in November.
"Queensland’s hard border has protected home values in Brisbane and surrounds this year, and once the boom gate goes up, which is expected by Christmas, I think we’ll be seeing significant new demand and capital growth in the south east corner in 2021," McGrath said.
Queensland was Australia's top spot for interstate migration last year. An estimated 107,000 people moved to the state, resulting in a net gain of roughly 23,000. During the year, Brisbane welcomed 70% of interstate migrants.
McGrath said aside from the return of interstate migration levels, a new trend is poised to arise within the state that would further boost demand for housing.
"The pandemic has prompted people to reassess their lives and this alone has convinced many to relocate north to enjoy the best lifestyle in Australia," he said.
McGrath said agents across Brisbane, the Gold Coast and Sunshine Coast have observed increases in enquiry from southern city relocators.
This potential surge in demand is resulting in a fear-of-missing-out phenomenon among locals, who may have limited time to take advantage of market conditions as waves southern buyers flood the state next year, he said.
"Southern buyers typically bring healthy budgets to Queensland after selling in Sydney or Melbourne, which are far more expensive markets. This, along with locals upgrading their homes instead of travelling, has boosted the luxury market where there is also a lack of stock," McGrath said.