Brisbane property market update July 2022

Whilst there are still a number of buyers in the market throughout the city, a large portion of the buyers appear to be fearful and are taking a stance to sit on the sidelines and observe the market activity, rather than participate in active bidding on properties. Other buyers are gearing up to take advantage of any opportunities that the current conditions might present.

When combined, the median trend in dwelling values ​​over the month of July showed a decline of -0.8 per cent across Greater Brisbane. This retraction is not as great as the fall in median values ​​in Sydney being -2.2 per cent, Melbourne -1.5 per cent, Hobart -1.5 per cent, and Canberra -1.1 per cent. Other capital cities, including Adelaide, PerthPerth, TAS Perth, WA and Darwin, showed small growth rates in median values ​​across the same period. It is clear that the slowdown in property price growth throughout Australia coincided with the onset of the first interest rate hike in May, and the resulting change in consumer sentiment has been very obvious.

Source: CoreLogic

With consumer sentiment being pushed to new lows in July, it is apparent that both the rate and the pace of the deterioration are comparable to previous major shocks such as the global financial crisis and the onset of the COVID-19 pandemic. Respondents who were part of the most recent Westpac consumer sentiment survey identified inflationary pressure, interest rates, the domestic economy and international conditions as the major concerns at this time.

The rate of change in median value trends over the last couple of months has been evident more so in the housing market compared to the unit/townhouse market in Brisbane. Median values ​​for houses across Greater Brisbane have declined -1.1 per cent in July. The current median value for houses is $884,336, which is $7,797 LESS than last month.