Real Estate Talk

As the state peak body for real estate professionals, the Real Estate Institute of Queensland (REIQ) has welcomed reassigned ministers to the Palaszczuk government cabinet.

REIQ CEO Antonia Mercorella congratulated Meaghan Scanlon on her appointment as the Minister for Housing and Yvette D’ath on her appointment as the Attorney-General and Minister for Justice and Minister for the Prevention of Domestic and Family Violence.

“We welcome these appointments and renewed focus, and look forward to continuing to work in an effective and constructive fashion with both Ministers as Queensland faces significant challenges ahead,” Ms Mercorella said.

“In particular, housing accessibility and affordability are complex and critical issues in our state that are increasingly demanding attention and action from all levels of Government – after all, these are matters impacting us all.

“It also comes at a time when the REIQ is calling on the Queensland Government to reconsider its proposed second stage of rental law reforms, with potentially dire consequences for the health of the rental market.

At their monthly board meeting, the RBA decided to increase the Cash Rate by 0.25 basis points to 3.85%. The decision to increase interest rates is expected to be the last in the current tightening monetary policy cycle, given the outlook for inflation and the economy as a whole. This decision was driven by ongoing strong inflation numbers, very tight employment markets, and a strong outlook for population growth, which will put inflationary pressures on housing costs.

Despite the increase in interest rates, we expect the positive momentum in the property markets to be maintained throughout the winter. Auction clearance rates have remained high, attendance at open homes has improved, and price growth has turned positive after passing the bottom of the cycle. As the RBA holds steady over the coming months, prospective buyers will become more confident that mortgage rates have reached their peak, allowing them to budget for their next purchase.

The strengthening property market indicators will also provide confidence to homeowners who have been waiting to sell. This should result in a gradual increase in listings over the coming months, as we have passed the bottom of the market.

Locally we have been transacting great numbers of property, and prices are still up given the lack of stock coming to the market. Rental vacancy rates are also low locally with only a handful of rental properties available.

“The REIQ will be writing to the ministers to outline our positions and progress our ongoing work that’s well underway on various working groups, plans, and legislative reviews and reforms.

“We will take this as an opportunity to help navigate the complexities of the landscape, inform government policy, and ensure real estate’s crucial contributions continue to be represented, heard and carefully considered.”

Ms Mercorella also thanked the outgoing ministers for their important contributions and close working relationship with the REIQ.