THERE was little growth in Queensland’s property values during the first quarter of the year with prices and transaction levels stagnating.
Initial strong signs in January have not translated through to any substantial increases in median house prices, according to the latest Real Estate Institute of Queensland’s March median house price report.
Brisbane’s median house price dropped by 1 per cent for the March quarter to $515,000 – up only 1 per cent on the same time last year.
REIQ chief executive Anton Kardash said a lack of first homebuyers was having a strong effect on the market.
During March the number of first homebuyers taking out loans in Queensland was about half what it was at the same time last year.
Australian Bureau of Statistics figures revealed 961 loans to first homebuyers during the month, up from January when it sat at 750, but substantially down on previous years.
Mr Kardash said the latest figures revealed a “stable and steady” market.
“We are calling it steady as she goes – it is not a bad set of numbers, we would have liked it to have been better,” he said.
Mr Kardash said medians were down in more affordable suburbs which attracted first homebuyers.
In Logan, 16 suburbs did not have enough sales to record a quarterly median – 10 sales are required. Of those remaining, only 14 had positive results while 10 were negative.
Mr Kardash warned until first homebuyers returned there would not be any substantial price increases.
Most of the activity in terms of transactions and price growth had been in regional areas in the March quarter.
Mr Kardash said it would be interesting to see if the latest interest rate cut flowed through to the market.
“If we can get first homebuyers energised we might start to see activity.”
Between October 2012 and March 28 this year 805 Queensland home buyers received the $15,000 Great Start Grant to build or buy a new house or apartment.
Original article published in www.news.com.au by Michelle Hele The Courier Mail, 18/5/2013