BRISBANE'S MARKET SOARS: A FIRSTHAND VIEW OF THE NATIONAL 'V' SHAPED RECOVERY
As a real estate agent, I have had a front-row seat to the remarkable recovery of the Australian housing market. The latest data from CoreLogic’s national Home Value Index (HVI) reveals a significant turnaround, with dwelling values not only recouping losses from the recent downturn but also setting new record highs.
Reflecting on the journey since April 2022, we witnessed a 7.5% dip in national home values, hitting the lowest point on 29 January 2023. However, since then, the resilience of the market has been extraordinary. The national HVI has climbed by 8.1%, marking a new record high as of 22 November 2023.
Tim Lawless, CoreLogic’s Executive Research Director, provided insights into this recovery. Despite high interest rates, consumer skepticism, and rising living costs, the market bounced back in about ten months after the downturn. This 'V' shaped rebound, according to Mr. Lawless, is a result of a significant imbalance between supply and demand.
2023 has been a year of surprisingly low stock levels. Although listings are slowly increasing, they remain 16.6% below the national five-year average. Meanwhile, the demand, as gauged by home sales volume, aligns with the five-year average, creating a unique market dynamic.
In Brisbane, we are experiencing this impact firsthand. Brisbane, alongside Perth and Adelaide, is at a record high, mirroring trends in our regional counterparts. This diversity in the housing market, however, isn't uniform across Australia. Regions like Hobart and Regional Victoria are still trailing behind their peak values.
The ongoing upward trend in housing values in most regions hints at a promising future. Yet, it's a double-edged sword. Homeowners are witnessing their property values soar, but prospective buyers are grappling with increasing affordability challenges, compounded by high interest rates and serviceability issues. Thankfully, the growth rate is decelerating in some areas, providing a glimmer of hope for buyers.
As we navigate this dynamic landscape, it's crucial to stay informed and agile. The Brisbane real estate market, in particular, is a beacon of growth and opportunity in these fluctuating times. Whether you’re looking to buy, sell, or simply understand the market better, it's an exciting time to be part of Brisbane's vibrant property scene.
Charlie Sandstrom # 0421 155 788
