Queensland Outlook The Queensland property market is expected to flatten out over the remainder of 2011, on the back of a falling market over the first half of the year. Most areas are bottoming but the market is quite fragile at the moment as it struggles to overcome the interest rate hikes at the end of 2010 and the devastating natural disasters earlier this year. The biggest challenge facing Government is to get more of the wealth from the resources boom to the country and wider economy. Restrictive bank lending criteria is holding back the proper ty market as banks adjust their risk profiles for fur ther falls in prices. Even though now is an ideal time to purchase, people are holding onto their money and waiting to see what will happen to the market, proper ty values, the economy and the world. The current laws are affecting trading and profitability, par ticularly in tourist industry areas. The weakness in the US dollar and relative strength of the Australian dollar is not helping tourist numbers. The First National Proper ty Market Outlook Mid-Year Update Sur vey shows 44.4 per cent of Queensland member respondents said they anticipated the market to steady in the coming six months, 38.8 per cent said they thought it would fall and 16.6 per cent said they believed it would rise.
26 First National Real Estate 2011 Property Market Outlook
Published on Jun 29, 2011