We’re Still Seeing Growth – June Housing Market update in 1 minute

The lack of availability in the housing market has kept the sale prices increasing, however June showed a slow in the sales growth.

This could be for a number of factors, including the rising interest rates, the decrease of migration that we experienced as a spin off from the pandemic and the end of the financial year. It’s normal for the housing market to slow down as the weather cools down, so we can expect to see a similar trend for the next few months of winter.

Brisbane is still 1.3% up on growth from last month while regional QLD is showing around 1% growth. Nothing like the 40%+ growth we’d seen during the pandemic, however any growth in the housing market is still positive.

Rental prices continue to rise, but with the annual rental price freeze coming into play from this month, it will be interesting to see if this starts to steady out. In my opinion it won’t change much, but only time will tell. From my experience potential tenants are still willing to offer over the asking rate and pay 6 months in advance to secure rental properties so demand is still high. If the housing market continues to grow then the lower end of the market that was once tipped towards investors, will continue to be snapped up by owner occupier’s as that’s what’s affordable, so the availability of rental properties will continue to diminish.

In my opinion the focus of the government shouldn’t be on making things more “tenant friendly”, but instead making investors see real estate as a desirable place to invest their money in, which of course would provide more options for renters, and decrease these crazy rent hikes.

Core Logic’s June market update