The Australian: September 03, 2008
$1m homes 'the norm' within decade
BRISBANE was only seven years away from a median house price of $1
million, real estate agency owner John Johnston has predicted.
Mr Johnston has analysed price, population and wages growth over the
past 38 years and assessed the median house price doubles every 61/2
years.
"It may sound amazing but it (a million dollar median) is just a
repetition of history," Mr Johnston said.
"If you said in 1970 when the median house price in Brisbane was $9910
that it would be $450,000 in 37 years, people would have thought you
were crazy."
His comments come a day after the Reserve Bank cut interest rates,
giving homeowners welcome relief.
Mr Johnston said population growth, mining, and tourism underpinned
capital growth of property in Brisbane.
"We are the California of Australia," he said.
He sees a future where urban sprawl and medium density homes will see
the southeast become much more populated.
"We can spread out as equally if not a lot more than Los Angeles because
we can go all the way to Toowoomba before we hit the hills."
Brisbane's population growth had averaged 2.19 per cent a year since
1970 and was tipped to be 2.2 to 2.3 per cent over the next three years. |
