Brisbane's 10 best and worst suburbs, and what's hot in 2024
The suburbs that delivered the best and worst property market performance over the past year are an eclectic mix, but experts have still ventured to make their predictions for the locations and property types tipped to excel in 2024.
An erratic Brisbane property market has over the past year delivered some wildly different capital growth – and capital decline – outcomes across the city.
The differing performance for the various real estate markets was not limited to location either, with units taking fewer big hits than houses and pricier house markets outperforming more affordable areas.
The overall capital growth of Brisbane units in the past 12 months was 7.5 per cent, compared to houses’ delivery of just 4.7 per cent. But houses are coming off some epic growth over the past five years of 49 per cent, while units are now playing catch-up having delivered a tepid 19 per cent growth across the city over five years.
Brisbane’s median house price is now right on $1 million dollars, almost double that of units at $505,000.
Brisbane’s top 10 worst performing markets
CoreLogic data commissioned by API Magazine shows there was a marked difference over the past year between the ten worst performing house and unit markets, with units down 7.3 to 1.3 per cent, compared to a range of 33.0 to 8.9 per cent for houses.
Inner city suburbs of Brisbane feature on best and worst performing lists, including the suburbs in the worst three for prices declines, highlighting the fine line between suburban dwelling price rises and falls.
WORST TEN SUBURBS - DECREASE OVER 1 YEAR - Houses
| Rank | Suburb | Annual No. Sales | Annual Median Sale | 1yr Change | 5yr Change |
|---|---|---|---|---|---|
| 1 | South Brisbane | 25 | $719,000 | 32.80% | 2.71% |
| 2 | Yeerongpilly | 19 | $900,000 | 26.23% | 11.01% |
| 3 | Fairfield | 33 | $967,750 | 20.19% | 35.54% |
| 4 | Chelmer | 50 | $1,412,500 | 19.38% | 29.59% |
| 5 | Manly | 62 | $1,140,000 | 14.61% | 47.10% |
| 6 | Richlands | 31 | $450,000 | 13.46% | 7.66% |
| 7 | Kangaroo Point | 25 | $1,407,500 | 12.58% | 68.16% |
| 8 | Seventeen Mile Rocks | 38 | $827,500 | 11.50% | 14.14% |
| 9 | East Brisbane | 62 | $1,220,000 | 10.62% | 38.95% |
| 10 | Spring Hill | 24 | $1,275,000 | 8.93% | 42.06% |
WORST TEN SUBURBS - DECREASE OVER 1 YEAR - Units
| Rank | Suburb | Annual No. Sales | Annual Median Sale | 1yr Change | 5yr Change |
|---|---|---|---|---|---|
| 1 | Hamilton | 282 | $505,000 | -7.34% | -0.20% |
| 2 | Fortitude Valley | 389 | $401,000 | -5.65% | 0.38% |
| 3 | Gordon Park | 50 | $425,000 | -5.56% | 29.38% |
| 4 | Herston | 24 | $519,750 | -4.19% | 34.82% |
| 5 | Yeerongpilly | 21 | $525,000 | -2.87% | 20.69% |
| 6 | Kangaroo Point | 307 | $545,000 | -2.68% | 4.81% |
| 7 | Hendra | 10 | $717,500 | -2.38% | 24.24% |
| 8 | Fairfield | 27 | $485,000 | -2.02% | 10.23% |
| 9 | Brisbane City | 662 | $499,000 | -1.38% | 0.81% |
| 10 | Bardon | 36 | $740,000 | -1.33% | 23.03% |
All figures are 12 months to March 2023 Quarter. Source: CoreLogic.
This seeming unpredictability was acknowledged by Keaton Luck, Lead Agent, Calibre Real Estate, who said the past year has seen significant uncertainty in the housing market as a whole.
“Inner city Brisbane have not been immune to this lack of clarity.
“While data suggests we have seen a significant downturn in some areas close to the Brisbane CBD, the reality is many properties transacted, particularly in the second half of 2022 (following the first interest rate rise) and the first quarter of 2023 have been flood-impacted properties that have undergone repairs and were ready to be sold.
“In addition, homeowners in these areas are generally quite attentive to things like interest rates and the overall market conditions.
“Following the first interest rate rise in July 2022 and the relentless media onslaught that real estate prices were to see a 10 to 20 per cent fall over the next 18 months has seen a good number of home owners, generally those who own high value or more desirable properties, put the brakes on when it comes to selling their current home or buying,” Mr Luck said.
The total number of properties listed for sale is close to 40 per cent below the prior decade average in Brisbane, throwing a challenge at buyers trying to secure a quality property in this environment.
Mr Luck’s colleague, Sales Director Justin Hagen, told API Magazine it is a tricky time to purchase property given the shortage of stock across the board.
“Buyers who are mentally prepared to purchase and have their finances in order are in a good position to secure a property in the current market, because it seems there is still hesitation on offering on properties from the buyer market as a whole.
“This is starting to wane as interest rates are settling down and more activity is happening in the market as spring comes around.”
Top 10 Brisbane property markets
In arguably something of a surprise result, lifestyle suburb Gumdale with its large blocks came out on top of the pile for highest rate of price growth for houses in the Queensland capital, while inner city Tennyson, home to the Queensland Tennis Centre, topped the units list.
Glenn Bool, Director of real estate agency Place Gumdale, attributed the suburb’s huge annual price leap to its mixed appeal.
“The desire to live on land has become more popular than ever before and what we are seeing is Gumdale finally being acknowledged for the incredible lifestyle offering.
“You can buy 2.5-to-5-acre (10,000 to 20,000 square metre) lots here and be a mere 25-minute drive to the CBD, or a five-minute drive to beautiful Moreton Bay foreshore.
“It’s the best of both worlds, with the Gumdale area the closest genuine acreage to the Brisbane CBD, while still enjoying cooling bay breezes all year round.”
TOP TEN SUBURBS - INCREASE OVER 1 YEAR - Houses
| Rank | Suburb | Annual No. Sales | Annual Median Sale | 1yr Change | 5yr Change |
|---|---|---|---|---|---|
| 1 | Gumdale | 18 | $2,050,000 | 60.78% | 136.99% |
| 2 | Ellen Grove | 23 | $530,000 | 39.47% | 79.66% |
| 3 | New Farm | 34 | $2,990,000 | 33.48% | 92.90% |
| 4 | Seven Hills | 48 | $1,645,000 | 27.47% | 73.16% |
| 5 | Bellbowrie | 71 | $930,000 | 23.18% | 71.43% |
| 6 | Herston | 12 | $1,331,000 | 22.11% | 66.58% |
| 7 | Wilston | 38 | $1,800,000 | 22.03% | 94.59% |
| 8 | Heathwood | 35 | $858,000 | 20.85% | 44.20% |
| 9 | Drewvale | 53 | $875,000 | 19.86% | 41.70% |
| 10 | Eight Mile Plains | 107 | $1,196,500 | 19.65% | 56.41% |
TOP TEN SUBURBS - INCREASE OVER 1 YEAR - Units
| Rank | Suburb | Annual No. Sales | Annual Median Sale | 1yr Change | 5yr Change |
|---|---|---|---|---|---|
| 1 | Tennyson | 14 | $ 1,635,000 | 52.09% | 28.24% |
| 2 | Grange | 20 | $830,000 | 34.96% | 42.29% |
| 3 | Bracken Ridge | 60 | $464,250 | 31.24% | 45.08% |
| 4 | Carina | 143 | $690,000 | 29.82% | 53.33% |
| 5 | Mitchelton | 38 | $550,000 | 27.91% | 29.41% |
| 6 | Camp Hill | 43 | $705,000 | 27.03% | 26.46% |
| 7 | Parkinson | 34 | $539,000 | 26.82% | 33.25% |
| 8 | Bridgeman Downs | 33 | $549,500 | 26.32% | 18.68% |
| 9 | Aspley | 28 | $567,500 | 25.14% | 47.79% |
| 10 | Norman Park | 44 | $645,000 | 24.52% | 38.71% |
All figures are 12 months to March 2023 Quarter. Source: CoreLogic
Mr Bool said despite the boom suburbs delivering double digit annual growth, it was still a transitional period for the Brisbane real estate market and this was causing people to change the way they transact on property.
“The post-Covid boom is still proving to be a tough and competitive market for buyers.
“We are trying to match homes to buyers who have missed out on a number of properties over 12 months.
“The preferred method to purchase has undoubtedly become by auction due its transparency, as it allows the buyers are able to have a fair playing field to compete and to secure.”
Where are the 2024 hotspots?
While interstate demand had come off the almost unsustainable highs of the Covid era, there was still enough demand, combined with population growth, to ensure Brisbane property demand remained elevated.
But picking which areas might deliver the greatest capital growth into and beyond 2024 is always a challenge.
Mr Bool said the Brisbane bayside market is set for strong future growth.
“In particular, Gumdale, Wakerley and adjoining suburbs are in high demand.
“They are family friendly, have wonderful schools, public transport and shopping options, while still being a short 25-minute drive to the ever-changing Brisbane CBD.”
Mr Hagen identified inner city units and townhouses as having significant upside potential.
“In the inner city Brisbane market we have seen good activity and interest in properties in the sub-$1 million price range, and this goes for units and townhouses.
“If you compare proximity to the CBD and the type and size of property that you can secure in Brisbane for less than $1 million compared to markets like Sydney and Melbourne, the value for money is quite astonishing.
“It is still possible to secure houses within five kilometres of the Brisbane CBD for less than that as compared to a market down south, where for that price point you’d be lucky to find something within 15 to 20 kilometres to the CBD.”
Speaking to API Magazine, Real Estate Institute of Queensland CEO, Antonia Mercorella, said post-Covid had been a “phenomenal” period of exponential growth in demand for Queensland property.
“In some Brisbane suburbs this accelerated momentum has slowed to a more sustainable pace over the past year, due to the impact of rising interest rates, cost of living and inflation, however, it’s always important to put this into context and recognise the extraordinary market and price growth that preceded it – we’re still coming off incredible highs, and this change of pace certainly doesn’t bring us back to pre-pandemic levels.”
“We still have strong demand and quite limited supply, so when you have those two factors, inevitably the market will hold firm and continue to move in a northerly direction.”
