Property prices still on the up – realestate.com.au

News Corp Australia Network

Property prices continue to trend upwards in Townsville. Picture: Evan Morgan

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Townsville home prices continue to soar with new data showing fresh price growth in the North Queensland capital.

The latest PropTrack Home Price Index found the median dwelling price in Townsville rose 4.13 per cent in the March quarter to $418,000.

This was a jump of 13.26 per cent from 12 months ago.

The Townsville median home price was up from $412,947 in January and $416,021 in February.

PropTrack senior economist and report author, Eleanor Creagh said the Queensland housing market was strong with home prices in both Brisbane and regional Queensland soaring to new heights.

The Brisbane median home price was up 0.41 per cent in March and 12.9 per cent annually to a new peak of $801,000.

The regional Queensland median home price rose 0.49 per cent last month and 10.18 per cent in the past 12 months to $647,000.

PropTrack senior economist, Eleanor Creagh. Picture: Supplied

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“Prices in capital cities have outpaced regional areas this year to date,” Ms Creagh said.

“All capitals bar Hobart saw prices rise in March, with the strongest growth in Perth (+0.99 per cent), Canberra (+0.67 per cent) and Brisbane (+0.41 per cent).

“Throughout the past year smaller capitals have outperformed, and this trend persisted into March.

“Perth, Adelaide and Brisbane home prices hit record highs with annual growth of 18.62 per cent, 13.47 per cent and 12.90 per cent respectively.”

Ms Creagh said in regional Australia, the median home price rose 0.19 per cent in March to a new peak of $630,000.

“Regional South Australia (+0.64 per cent) and regional Queensland (+0.49 per cent) led growth, while prices declined in regional Victoria (-0.35 per cent),” she said.

Nationally, the median home price was up 0.34 per cent in March and 6.79 per cent year-on-year to $768,000.

“The home price upswing persisted in March, and prices reached a record high nationally,” Ms Creagh said.

“Despite an increase in the number of homes hitting the market this year, demand has absorbed the surge leading to further price increases.”

The home at 2 Heather Ave, Rasmussen, sold for $540,000 on March 19, 2024. Picture: realestate.com.au

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Ms Creagh said the expectation that interest rates might begin to move lower in late 2024 would sustain buyer and seller confidence.

“As was widely expected, the Reserve Bank kept the cash rate on hold at 4.35 per cent in March and many expect the next move for interest rates will be down, though timing remains uncertain,” she said.

Ms Creagh said housing demand was also buoyed by population growth, tight rental markets, resilient labour market conditions and home equity gains.

“The sharp rise in construction costs and labour and materials shortages have slowed the delivery of new builds, hampering the supply of new housing,” she said.

“The imbalance between supply and demand is likely to further offset the impact of affordability constraints and a slowing economy.

“As a result, prices are expected to remain on the rise in the months ahead.”