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Market Report - Queensland (November 2007)

30/11/2007

Employment growth and a strong economy help Queensland prosper while others lag behind. Brisbane achieved stronger capital growth in the last year than any other state capital, with a huge 14.8% increase. Things were almost as impressive in country Queensland, which saw growth of 14.63% placing it second only to the NT.
 
The gains in the three months up to July – 5.45% in Brisbane and 4.25% in country areas – are also the second highest in the country, making for a very positive picture over all. 
 
“The economy in QLD is extremely strong,” says Robert Walker, executive director, Property Council of Australia – Queensland. “We also have strong growth of employment and there’s a logical flow-on effect to demand [for property].” 
 
This certainly seems to be the case, with the booming Queensland economy going from strength to strength.
 
Average rent is a healthy $330 in Brisbane and $320 in the country, showing respective returns of 4.28% and 4.66%.
Strong-performing suburbs include Deeragun, 16km west of Townsville, which grew 25.49% year-on-year, and the rural residential Brisbane suburb of Berrinba, which was up by 24.4%.

Mundingburra, a suburb of Townsville, also performed well, achieving 20.64% growth in the 12 months to July, making for a very positive over all picture for Queensland.

“All predictions are that the economy will still grow around 3.5-4% above the predicted national average,” says Walker. “There’s no sign of our population growth abating and we’ve seen the state government and I suspect the federal government will continue to invest large amounts of money in building infrastructure.”

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