3.3
Apartments and Townhouses
Brisbane
Gold Coast
The Brisbane apartment market has mirrored trends in the broader Brisbane residential market in recent months and continues to improve. Brisbane unit prices are up over the year although the rate of price growth is well below that of houses. Off-theplan apartment sale volumes have also risen and remain above recent lows. The continued divergence between house and apartment prices has increased the relative affordability of apartments and should help to underpin new apartment sales over the short to medium term.
Gold Coast apartment market conditions continued to improve in the second half of 2021.
Apartment sales continues to be dominated by two bedroom stock followed by 3 bedroom stock. Around a third of all sales are in the $650,000 to $750,000 range. Premium apartments, priced over $900,0000, are increasingly popular and accounted for around one in five sales in the previous quarter.
The apartment market is experiencing increasing rents, very low vacancy rates and strong demand from both owner occupiers and investors. The reopening of interstate borders will be an important boost to an already strengthening Gold Coast apartment market. The Gold Coast is expected to see increased demand for apartments and other dwellings, once interstate travel restrictions are eased, placing further pressure on the limited supply of new apartments.
Higher construction costs continue to flow through into higher sales prices. Rawlinsons reports that, over the first quarter of 2021, prices for construction materials increased across all categories.
Increase in Brisbane Material Costs LVL, LAMINATED BEAMS
TIMBER FRAMING
15%
15%
MESH REINFORCEMENT
BAR REINFORCEMENT
10%
$150/T
ROOFING/PURLINS
STRUCTURAL STEEL
10%
10%
CONCRETE
$10/CUM 50
QUARTERLY MARKET INSIGHTS
SEPTEMBER QUARTER 2021
