The main Australian city where you can still buy a house for less than $250,000
Budget homebuyers can still buy property for less than $250,000 in the suburbs just half an hour’s drive from Brisbane city centre.
The Queensland capital has been Australia’s best-performing capital property market during the pandemic, with home values jumping 27.4% in the year to June.
The median home price of $892,133 would be out of reach for an average income who wants to pay off a home without being in mortgage trouble.
Apartments in Brisbane typically cost $501,074, buying something near the city.
But there are still pockets in Logan, a satellite town half an hour’s drive southwest of Brisbane city centre, where the median price of a unit is half that level.
This means that buyers on a budget, also wanting to be closer to the Gold Coast, would be less affected by soaring interest rates, with borrowers already suffering the biggest Reserve Bank increases since 1994.
In Woodridge, 23km southwest of central Brisbane, the average apartment price is just $229,170, according to data from CoreLogic.
Budget homebuyers can buy a home for less than $250,000 in the suburbs a short drive from downtown Brisbane. In Woodridge (apartment pictured), 23km southwest of central Brisbane, the average apartment price is just $229,170, according to data from CoreLogic.
Estate agent Selene Bruynzeels (pictured) there has been an increase in interest from first-time buyers and investors in the suburbs of Waterford and Waterford West
Waterford West, 7 km from Woodridge, has a median apartment price of $249,863 while in Logan Central it is $233,144.
Suburbs where you can buy a $250,000 house
WOODRIDGE, QLD: Median price of an apartment of $229,170
LOGAN CENTRAL, QLD: Median price of an apartment of $233,144
WATERFORD WEST, QLD: Median price of an apartment of $249,863
GOODNA, QLD: Median price of an apartment of $250,006
KOORALBYN, QLD: Median apartment price in Kooralbyn of $201,400
Logan estate agent Selene Bruynzeels of Ray White Beenleigh said there had been increased interest from first-time buyers and investors in suburbs like Waterford and neighboring Waterford West.
Couples and families enjoyed the proximity to a Bunnings hardware store and local private school.
Ms Bruynzeels said the ‘super community’ offered first-time buyers a ‘big foot on the property ladder’.
A lower entry price meant that a house could be rented out so the buyer could get a mortgage on a second property.
Ms Bruynzeels estimated that properties in Waterford that cost $250,000 a year ago could now be sold for up to $350,000.
“I wouldn’t be surprised if they didn’t increase significantly,” she said.
In Ipswich, a little further southwest, the suburb of Goodna has a median unit price of $250,006.
Those wanting an even cheaper unit can head to Kooralbyn, an inland town on the Scenic Rim 100km southwest of Brisbane, where $201,400 is the average apartment price.
Waterford West (pictured, a house on the market for $239,000) has a median apartment price of $249,863 while in Logan Central it is $233,144
House prices fall in most major cities in June
SYDNEY: down 1.8% to $1,382,631
MELBOURNE: Down 1.3% to $975,850
BRISBANE: Apartment at $892,133
ADELAIDE: up 1.3% to $699,251
PERTH: up 0.4% to $585,114
HOBART: down 0.2% to $796,863
DARWIN: up 0.8% to $588,928
CANBERRA: up 0.3% to reach $1,065,317
Source: CoreLogic data for median house prices in June 2022
The city’s median home price of $619,151 is also affordable for an average full-time worker with a salary of $90,917.
With a 20% deposit, they would avoid getting into mortgage trouble, where they owe the bank six times or more of what they earn.
Estate agent Mel Weir, of Right Fit Properties, has lived in Kooralbyn for almost a decade and noted that his town was “finally seen for what it is” – a picturesque town nestled in the valley, far from the hustle and bustle of city life.
Ms Weir estimated house prices had more than doubled in the past 12 months and said there were not enough properties to meet demand.
She said city workers were happy to drive up the Mount Lindesay Highway to the city and find the peace and quiet of Kooralbyn.
CoreLogic noted that the Logan-Beaudesert region of southeast Queensland has the most affordable apartments in Australia, with median values below $250,000.
It’s a similar story in Adelaide where the median unit price in Salisbury, 25km north of the city, is just $263,951.
That’s significantly cheaper than Greater Adelaide’s median unit price of $423,708 and the city’s median house price of $699,251, after an annual increase of 27.4%.
Estate agent Mel Weir, of Right Fit Properties, has lived in Kooralbyn for almost a decade and noted that his town was “finally seen for what it is” – a picturesque town nestled in the valley, far from the hustle and bustle of city life
Those wanting an even cheaper unit can head to Kooralbyn, an inland town on the Scenic Rim 100km south of Brisbane, where $201,400 is the median price for an apartment (pictured is a unit with a price requested of $249,000)
Adelaide and Brisbane are Australia’s strongest property markets.
But values are falling in major Australian capitals, following 1.25 percentage point rate hikes by the Reserve Bank in May, June and July that took the cash rate to a three-year high of 1, 35%.
It also saw borrowers take the biggest rate hikes since 1994.
Sydney has been the hardest hit major city so far, with the median house price in the June quarter falling 3% to $1,382,631 as values fell 1.8% last month only, according to data from CoreLogic.
Melbourne’s median house price fell 2.4% over three months to $975,850, losing 1.3% in June.
Property prices in Brisbane were stable last month.
But separate data from PropTrack, the data firm connected to realestate.com.au showed house and accommodation prices in Brisbane fell 0.09% in June, marking the first monthly decline since early April 2020. of the pandemic.
The big four banks expect the Reserve Bank of Australia to raise interest rates by 0.5 percentage points in August and September.
CoreLogic noted that the Logan-Beaudesert region of southeast Queensland has the most affordable apartments in Australia, with median values below $250,000 (pictured is a Woodridge house)
But ANZ expects the RBA cash rate to hit a 10-year high of 3.35% by November, with a half-percentage-point increase in August, September, October and the Melbourne Cup day.
Commonwealth Bank, Australia’s biggest property lender, expects house prices in Sydney and Melbourne to fall 18% by 2023.
Brisbane prices are expected to rise 6% in 2022 but fall 10% in 2023 for a lower net loss of 4%.
Similarly, Adelaide is expected to rise 6% this year, followed by an 11% decline next year for a net loss of 5%.