Property Market Update 2022

Brought to you by InfoTrack

This property market update is reflective of data captured for New South Wales (NSW) and Queensland (QLD) between the 1st of January to the 30th of June 2022.

Property Market Update 2022

Brought to you by InfoTrack

This property market update is reflective of data captured for New South Wales (NSW) and Queensland (QLD) between the 1st of January to the 30th of June 2022.

NSW Property Market Update

NSW purchases by First Home and Experienced Home Buyers spiked at different times in H1 2022.

Both NSW First Home Buyers and Experienced Home Buyers had similar purchase price peaks in March, however they had differing valleys and troughs throughout H1. First Home Buyers peaked in May, with $1.64 billion, and Experienced Home Buyers peaked in January with $28 billion.

Whilst these monthly peaks might seem significant on paper, they pale in comparison to the activity seen in 2021, where First Home Buyer purchase amounts hit astronomical highs in March ($2.4 billion) and December ($30 billion) for Experienced Home Buyers.
Purchase Amount Trends reflect the total aggregated monthly purchase price over the selected period (01/01/22 – 30/06/22).

50% of First Home Buyer sales were for strata properties.

A high portion of NSW First Home Buyers in H1 2022 have skewed towards purchasing strata properties. Secondary to this, were house owner occupiers (41%). There is a significant shift in the land use data when compared to Experienced Home Buyers, who primarily invested in houses either to occupy (48%) or to rent (15%).

North-west Sydney has proven to be a trending region for First Home Buyers.

For those new to the property game, Warwick Farm and Schofields take out the top two places, based on the quantity and overall volume of sales. This is a continued trend as throughout 2021 they were both popular suburbs, reflecting the continued urban sprawl of the NSW capital as people seek more cost-efficient properties further afield.
Data is reflective of Top 10 Suburbs for First Home Buyers based on Purchase Price (aggregated cost) and Suburbs by Sales (volume of sales).

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QLD Property Market Update

Both QLD House and Home Unit property types peaked in March 2022.

Respectively, these types of dwellings represented purchase amounts of $1.7 billion and $352 million throughout the month of March. Additionally, both property types also had a smaller secondary peak in May.
Purchase Amount Trends reflect the total aggregated monthly purchase price over the selected period (01/01/22 – 30/06/22).

79% of properties being purchased in QLD are houses.

Houses continue to be in demand in QLD. This is a continued trend seen year on year for the same date range, as houses represented 79% of properties being purchased in 2020 and 78% in 2021.

QLD coastal properties soar in popularity.

Over the past few years, the sunshine state of QLD has experienced a boom in sales and an influx of potential buyers wanting to move north. Coastal properties appear to have garnered favour, as reflected by the Top 10 Suburbs for Home Units being filled exclusively with locations on the Sunshine and Gold Coast, north and south of the state’s capital of Brisbane. Surfers Paradise and Hope Island take out the first and second spot for both aggregate sales and purchase price.
Data is reflective of Top 10 Suburbs (Home Unit) based on Purchase Price (aggregated cost) and Suburbs by Sales (volume of sales).
Data is reflective of Top 10 Suburbs (House) based on Purchase Price (aggregated cost) and Suburbs by Sales (volume of sales).

Buderim tops the list for houses by purchase price for H1, 2022.

This inland suburb of the Sunshine Coast has taken out the number one spot with a total purchase price of $112 million. Whilst Buderim only appears in fourth place for the Top 10 suburbs by sale volume with 85 purchases, these placements provide the insight that the cost per property is higher than other suburbs. As an example, on the other end of the spectrum, Redbank Plains which had the highest number of sales for any suburb (107) only attributed $54 million. This shows a greater volume of sales, at a lower cost per property.

When comparing the data for QLD Home Units to those of Houses, we can see some movement in the purchasing behaviour and location preferences of buyers. Whilst Home Units were demonstrated to be popular in built-up, densely populated areas like the Gold Coast, we can see when it comes to houses – purchasers are investing further afield.

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Industry opinions on First Home Buyer activity

“What I’m seeing in relation to first home buyer activity in today’s property market is that it’s at an all-time high, and I assume FOMO is the biggest driver.”

Tom Panos

Real Estate Influencer

"Since the start of the COVID-19 shutdowns occurring. …there was talk of significant decreases in market values across the sector, as much as 20-30%, but as we have seen quite the opposite has occurred."

Emanuel Oros

Property & Leasing Commercial Lawyer Partner - Sparke Helmore Lawyers