Real estate Queensland: prices crash in 250+ suburbs – what your home is now worth
Home values have plummeted in more than 250 suburbs across Queensland, as the market takes a grim New Year’s turn. See what homes in every suburb are now worth.
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Home values fell in more than 250 suburbs across Queensland last year, giving buyers some incentive to start shopping for bargains in 2023, exclusive new data reveals.
Figures from PropTrack show prices dropped by up to 21.5 per cent in some locations over the past 12 months, with the biggest falls seen in the rural locations of Nome, Cunnamulla, and Moranbah.
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In Greater Brisbane, house prices in the northern suburbs of Boondall and Zillmere are around 13 per cent cheaper than they were a year ago.
On the southside, the median value of a house in Yeerongpilly has dropped 12.7 per cent, and nearly 12 per cent in Moorooka.
Units fared better, with Bowen Hills recording the biggest slide in unit values in Greater Brisbane of 6.7 per cent.
Brisbane’s overall median home price recorded eight consecutive months of falls in 2022, according to the latest PropTrack Home Price Index for December, to end the year at $716,000.
But it still managed to end the year higher, after gaining 2.2 per cent over the 12 months despite eight interest rate rises.
The declines were most acute in the December quarter of 2022, with 80 per cent of Greater Brisbane’s 508 suburbs recording median price falls in those three months.
PropTrack economist Eleanor Creagh said price falls became more widespread towards the end of last year, but — so far — Brisbane had been more resilient than Sydney and Melbourne. “We do know that although the pace at which population flows north are occurring has likely eased from the large levels we saw during Covid, they still remain above pre-Covid averages so that level of interstate migration is likely to provide support — and the fact rental vacancies are very tight,” she said.
“We did see also a trend of higher value regions and property types falling the fastest, which is something we expect to continue.”
Ms Creagh is expecting another 0.25 per cent interest rate hike in February, followed by a pause as the Reserve Bank starts to assess the impact of substantial rises on households.
“A reduction in borrowing capacity does indicate further price falls, but I also think that if interest rates peak in the first half of this year … we’re probably going to see price falls easing and values stabilising just as the interest rate uncertainty reduces.”
It comes as Brisbane recorded a 10.6 per cent jump in total home listings in December compared with a year ago, driven by a surge in unsold properties.
SQM Research head of research Louis Christopher said a quarter of total listings had been on the market for more than 180 days, with Brisbane notching up a 40 per cent spike in the number of old listings over the month.
“This rise in older stock completely confirms the depth of this housing downturn and is very typical of what was recorded in past downturns where you see a build-up of unsold property,” Mr Christopher said.
“There’s a dearth of new listings, so vendors would have been reluctant to sell into this downturn and they’ve been holding out as much as they can.”
While distressed sales activity had not increased dramatically, Mr Christopher said he was “concerned” by the possible magnitude of price correction, given the pandemic’s huge upswing.
“We are all well aware of the massive run-up in prices between late 2020 and through 2021, and that is typical of southeast Queensland where that boom-bust cycle can occur, and I am a bit concerned about the size of the correction.”
But Ms Creagh said it could provide an opportunity for buyers to have more power to negotiate and more properties to choose from.
“With market conditions cooling, as well as more choice, buyers are regaining the upper hand in negotiations,” she said.
“We’re seeing properties staying on the market for longer, so buyers have less pressure and more time. I guess it’s a trade-off though given borrowing costs are higher and the uncertainty with interest rates and the economic environment.”
Outside of Brisbane, Currumbin Waters saw the biggest drop in home values in 2022 on the Gold Coast, with the median house price now 11.3 per cent cheaper, followed by Elanora where the median house price dropped 10.5 per cent.
In the state’s north, East Mackay and Beaconsfield recorded the biggest falls in median unit prices.
But more suburbs across the state recorded price rises in 2022 than price falls.
The PropTrack figures show home values rose in 890 suburbs over the 12 months to December.
The median house price in Avondale in the Bundaberg region climbed a whopping 41 per cent over the year, while Burnett Heads (also in the same region) recorded a 36 per cent jump in its house price.
The biggest rise in unit values across the state for the year was in Caloundra West, where the median unit price increased nearly 35 per cent to $696,350.
Real Estate Industry of Queensland CEO Antonia Mercorella said she believed buyers would remain cautious in 2023 until interest rates stabilised.
“While the possibility of rates continuing to rise is still hovering around, we’re unlikely to
see a shift in buyer mindset,” Ms Mercorella said.
“In saying that, demand remains strong and scarcity of supply is not something that changes
overnight, so we’re expecting to see prices remain firm.”
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