Brisbane home prices soar as demand outstrips supply
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Brisbane’s property market has experienced a significant surge over the past year, with home prices climbing by $153,500, marking a 15.9 per cent increase. This rise brings the median price for all dwellings, including houses and units, to $1.046 million, according to the latest PropTrack Home Price Index.
The unit market has been the standout performer, with prices jumping 20.3 per cent to a median of $831,000. In comparison, house values increased by 14.7 per cent, reaching a median of $1.203 million. PropTrack senior economist Eleanor Creagh attributed the strong unit growth to a shift in buyer preferences towards more affordable housing options. “Unit price growth outperforming house growth on both a quarterly and annual basis in each of the strongest performing capitals makes sense when you consider these cities have had a long period of strong growth in house prices,” she said. “There does seem to be stronger demand in the more affordable price segments. People are being pushed to more attainable options.”
The Brisbane market’s dynamics continue to be shaped by the fundamental forces of supply and demand. “Stock on market continues to be very tight,” Ms Creagh noted. “Strong buyer demand is facing tight supply.” This tight supply, coupled with high demand, has been a driving factor in the city’s property price escalation.
Greater Brisbane has also seen impressive growth, with all surrounding cities experiencing double-digit home value increases. Ipswich led the charge with a 19.7 per cent rise to $881,000, while Logan — Beaudesert, Toowoomba, and Moreton Bay recorded gains of 19 per cent, 18.2 per cent, and 17.6 per cent, respectively. Despite recent interest rate hikes, buyers remain undeterred, although Ms Creagh cautioned that this could change with further rate increases. “One hike doesn’t affect price movements in one month, but the outlook for the market would change with more rate hikes,” she explained. “In the period ahead, growth will be slower and more uneven if interest rise again.”
Ray White senior data analyst Atom Go Tian highlighted that some Brisbane suburbs are now beginning to rival their Sydney and Melbourne counterparts. “Brisbane is the growth market and slowly going outwards, but the big stories are the premium market,” he said. “Places like New Farm are coming up in the top 10 luxury growth lists.” Mr Go Tian also pointed out that the city’s growth is extending to its fringes, with buyers increasingly turning to Greater Brisbane cities such as Ipswich and Logan for more affordable options. “With the 2032 Olympics and the Sunshine and Gold coasts benefiting Brisbane as a whole, the city is experiencing sideways growth,” he added. “People living in Logan and Ipswich find they don’t need to go to Brisbane any more. They’re satellite cities where people live and work, and in this case, it’s still within Greater Brisbane.”
The demand for Brisbane’s property is further exacerbated by a lack of supply, according to Place Ascot agent Drew Davies. “There’s limited new housing stock within 5 to 10 kilometres of the CBD, and when high-quality new builds or well-renovated character homes hit the market, they’re attracting multiple buyers immediately,” Mr Davies said. “People want proximity to schools, transport and lifestyle precincts, but they also want modern, turnkey living, and that scarcity is pushing prices upward.”
Mr Davies also noted a trend of families moving to areas like Ipswich and Moreton Bay due to their affordability and land availability. “Families are moving outward because they can secure newer homes on larger blocks for significantly less than inner-city prices. With improving infrastructure, schools and retail hubs already in place, buyers feel confident they’re getting both lifestyle and long-term growth.”
The property boom in Brisbane is mirrored across regional Queensland, where home values have risen by 13.4 per cent to a median of $810,000. Nationally, dwelling prices have increased by 9.1 per cent over the past year, reflecting a widespread trend of rising property values in Australia.