Australia Property Market 2024: What Buyers in Queensland and Victoria Need to Know
Sarah and James, a young couple from Melbourne, spent years saving for their first home. But with Melbourne's median house price now at $814,000, their options felt limited.
Turning their attention to Queensland, they found a more affordable market in Brisbane, where the median house price sits at $780,000. The move not only gave them a better shot at home ownership but also offered a lifestyle change they hadn’t imagined.
Their journey isn’t unique. At Stalagmite Property Group, we’ve helped thousands of clients find their dream properties across Queensland and Victoria, whether it’s a coastal retreat, inner-city convenience or a peaceful rural haven. Let’s explore the opportunities—and challenges—shaping these markets in 2024.
Brisbane: A Market with High Demand
Brisbane has become a magnet for buyers leaving pricier cities like Sydney and Melbourne. With its relative affordability, job opportunities and growing infrastructure tied to the 2032 Olympics, Brisbane is attracting both first home buyers and investors.
What You Need to Know
First Home Buyers: Consider emerging suburbs like Burpengary, Caboolture and Morayfield for more affordable options.
Investors: Areas like South Maclean, Redbank Plains and Flagstone are thriving rental markets with strong long-term potential.
Melbourne: Finding Value Beyond the City
In Melbourne, affordability is a significant challenge for buyers, with a median house price of $814,000. However, suburbs on the city’s fringes and regional areas are opening doors for first home buyers and investors. These locations offer better value without sacrificing access to essential amenities.
What You Need to Know
First Home Buyers: Suburbs like Clyde, Pakenham and Donnybrook provide affordable entry points for those looking to buy near Melbourne.
Investors: Look at areas like Truganina, Wyndham Vale and Tarneit, where infrastructure projects and population growth are driving rental demand.
Looking beyond the city centre can help you uncover properties that fit both your budget and your lifestyle needs.
Sunshine Coast: Competitive and Growing
The Sunshine Coast isn’t just about beaches—it’s a property hotspot. At a recent auction, over $45 million worth of properties sold in just five hours. This is a huge jump from $27 million last year.
Buyers are flocking to the region for its lifestyle and growth potential. New technologies like Nurture Cloud, which matches buyers with properties, are making auctions more efficient and competitive. However, this popularity means higher prices and tougher competition for buyers.
What You Need to Know
First Home Buyers: Consider less expensive areas just outside the Sunshine Coast. They still offer the laid-back lifestyle but without the same level of competition.
Investors: Coastal properties are highly sought after and come with strong rental demand. Look for properties with long-term growth potential rather than aiming for quick flips.
Gold Coast: High Prices, Low Supply
The Gold Coast is facing a big problem: not enough properties. Only 55 homes were sold in the first quarter of 2024, down sharply from previous years. This lack of supply has pushed prices up, making the market challenging for buyers.
What You Need to Know
First Home Buyers: Expand your search to surrounding areas where prices might be more reasonable.
Investors: While rental demand remains strong, it’s important to avoid overpaying in such a tight market.
Understanding Housing Affordability Challenges
Affording a home has become a nationwide struggle. In 2024, a median-income household could only afford 16% of homes sold in South Australia—a steep decline from 49% just three years ago. New South Wales and Tasmania fared even worse, with only 10% and 9% of homes affordable to median earners.
Mortgage costs are also climbing, with households spending about one-third of their income on repayments for a median-priced home, the highest level since 2008. Reports from Property Update show that while wages have grown modestly, property prices have far outpaced them, making home ownership a challenge for many.
In Queensland, high-demand areas like Brisbane and the Gold Coast face acute affordability pressures. In Melbourne, affordability is compounded by high property taxes and elevated inner-city prices.
What Drives House Price Fluctuations?
Several factors shape property prices across Queensland and Victoria.
Population Growth
Queensland leads the way in interstate migration, attracting those leaving Sydney and Melbourne for better affordability and lifestyle.
Interest Rates
Higher borrowing costs have cooled some markets, but overall demand remains strong. Interest rate cuts anticipated in 2025 could further stimulate activity.
Limited Housing Supply
Shortages in high-demand areas like the Gold Coast push prices higher.
Economic and Infrastructure Growth
Major projects, such as those tied to the 2032 Olympics in Brisbane, are driving jobs and housing demand.
What to Expect in 2025
Market forecasts suggest distinct trends for Queensland and Victoria.
Queensland
Brisbane and the Sunshine Coast are set to remain hotspots, with Brisbane’s median house price expected to rise by more than the average annual wage.
Victoria
Melbourne’s outer suburbs and regional areas will likely attract buyers priced out of the city centre.
Interest Rates
Cuts from the Reserve Bank of Australia in 2025 could ease borrowing costs, though their impact on affordability may take time.
Opportunities for Buyers and Investors in Queensland and Victoria
While affordability challenges persist, opportunities still exist for buyers and investors in both states.
Queensland
Queensland offers a diverse range of options for every type of buyer:
Coastal Living: Burpengary, Caboolture and Morayfield provide access to Queensland’s beautiful coastline.
Rural Retreats: Jimboomba, Yarrabilba and South Maclean offer spacious properties and a peaceful lifestyle.
Suburban Convenience: Ipswich, Logan and Redbank Plains combine affordability with proximity to city amenities.
Victoria
Victoria’s outer suburbs and regional areas are gaining popularity for their affordability and accessibility:
Emerging Suburbs: Wallan, Mickleham and Craigieburn are ideal for families and young professionals.
Growing Communities: Wyndham Vale, Tarneit and Lara offer strong growth potential and community-focused living.
Future Growth Hubs: Officer, Beveridge and Wollert are attracting attention for their infrastructure investments.
No matter your goals, our expertise in these regions can help you find the right property and guide you through every step of the process.
How We Can Help
At Stalagmite Property Group, we’ve helped thousands of clients navigate Australia’s challenging property market. Whether you’re a first-time buyer or a seasoned investor, we offer:
Local Expertise: From Brisbane to Melbourne, we know the ins and outs of these markets.
Personalized Solutions: We tailor our advice to your unique needs and goals.
End-to-End Support: From finding the right property to securing the best home loan, we’ve got you covered.
Final Thoughts
Housing affordability is undeniably a challenge, but with the right approach and expert guidance, home ownership remains within reach. Whether you’re looking for coastal living in Queensland or family-friendly communities in Victoria, the property market in 2024 offers opportunities for those who stay informed and act strategically.
With Stalagmite Property Group by your side, you can navigate the market confidently and make your property goals a reality. Start exploring your options today—your dream home is closer than you think.
