Residential property in Sydney and South East Queensland is continuing to thrive with growth driven by government infrastructure spending and low interest rates.
This is our wrap-up of the property scene in these areas as 2016 draws to a close.
The lead-up to Christmas saw residential auction clearance rates well above average – especially for this time of year. This was primarily due to insufficient listings to accommodate demand.
The price of freestanding houses continues to rise while existing apartment clearance rates are stable.
After reviewing both our internal research and the research of associates such as SQM Research, we expect residential property investments in 2017 to continue along a similar path.
Fuelling property prices in the Sydney metro area are government investments in infrastructure projects like WestConnex, NorthConnex and the Light Rail extension to Parramatta.
In the short to medium term, Sydney residential property will remain a good investment for both investors and owner occupiers. With the peak of apartment completions expected in 2018, we anticipate good demand for units well into the first and second quarters of that year.
South East Queensland
As we forecast, residential property prices have begun to recover in South East Queensland. We expect these prices to continue to be stable and a safe investment option in the lead up to the Gold Coast Commonwealth Games to be held in April 2018.
The Games have been instrumental in fuelling government investment in infrastructure projects such as the Gold Coast Light Rail (G:Link) and upgrades to Griffith University and Gold Coast Hospital.
We expect relatively low prices and low vacancy rates will continue to provide sound investment opportunities in South East Queensland.
Stay on top of the trends
Throughout next year, Kanebridge will host information nights on the Sydney and South East Queensland residential property markets. These sessions will be held in our Boardroom located at our Norwest Office. For more information click here.
For weekly residential property updates, reports and data, visit our associate SQM Research http://www.sqmresearch.com.au.