A Brisbane group has reported that its record month of sales in October is a sign the city’s property market is on its way back up.
Place Estate Agents has recorded more than $80 million in residential property sales by just two of their offices – in the city’s easy and inner north – in October, which was a record month for sales.
Damien Hackett, Place CEO, said this was evidence Brisbane’s residential property market was firmly on the way up, and the data demonstrated the sub-$1 million price bracket was where a majority of activity was taking place.
“Greater than 80 per cent of the 97 properties sold in this category, which demonstrates it is undoubtedly leading the recovery in Brisbane’s residential market,” he said.
“Fifty-two per cent of homes sold by Place across these two offices during the month of October were priced between $600,000 and $1 million, while a further 28 per cent were priced under $600,000.
“With only 17 per cent of the homes priced over $1 million, it is evident buyers are most active in the more affordable price brackets.
“These buyers are increasingly confident in the economy and their economic circumstances – their employment is relatively secure and their salaries are stable – and this, combined with record-low interest rates is propelling them into the market.”
Place also found the time on market for listed properties had significantly dropped, and their auction clearance rate had also increased.
“The number of days homes in the sub-$1 million price bracket were sitting on the market in October was 41, which is far less than the average for the six-month period from January to June, which was 68,” Mr Hackett said.
“Meanwhile, the auction clearance rate for auctions held between the beginning of October and now is 81 per cent, which is very high.
“Essentially, the strength in the market that we are witnessing in Brisbane is contrary to recent reports that suggest the recovery is only taking place in Sydney. The Brisbane market is exceptionally strong and we expect to see it only improve from here, with all the fundamentals lined up for a solid 2014.”