Southern buyers push up property prices in Brisbane & Gold Coast real estate market

.

Added buyer activity from the southern states, and in particular Sydney and Melbourne, is pushing up prices in the Brisbane & Gold–Coast real estate market.

An REIQ report showed median house values in in some areas were up 11% for the quarter ending December 2013.

REIQ chief executive Anton Kardash said the market was stronger due to continued recovering sales activity, favourable interest rates and more confidence in the market.

He described Queensland as the tipping point between a buyers’ and a sellers’ market and he expected improvement, particularly in the southeast corner, to continue this year.

A number of auctions have generated plenty of buyer activity with multiple bidders and properties selling for record prices.

Mr Kardash said that while the market was healthy, it would be greatly improved once first-home buyers returned.

He described their current purchase levels as down to about half of those a decade ago.

Mr Kardash said that while the State Government’s Great Start Grant for first-home buyers purchasing a new home was designed to stimulate the building industry, it was not helping the property market.

“We know through history that first-home buyers are into putting “sweat equity” into their property purchases,” he said.

“So they are actually buying older properties where they can invest, not just money, but time and effort.

“It’s a healthy market at the moment but it would be a whole lot better once the first-home buyers return. They tend to have a cascade effect through the rest of the market.”

It is inevitable that the first home buyers will be returning so anyone wanting to get in and not miss the boat should have a good think about making their move sooner than later.