New research from Corelogic and Aussie Home Loans has predicted the median house price in Brisbane will hit $2.24 million in 2043 if growth continues at the same rate as the past 25 years, reports news.com.au.

The past quarter-century has seen the median house price in Brisbane grow by more than 300 percent or approx. $16,290 per annum from $128,000 in 1993, to $545,292 in 2018.

In data released earlier this year, Research Executive Tim Lawless of Corelogic said Brisbane is a prime position to be the leading capital city in dwelling value growth over the next five years, with one key factor being current housing affordability in the city with comparison to Sydney and Melbourne.

Importantly, there are a variety of economic and demographic factors that are likely to support improving market conditions across Brisbane including economic and demographic trends as well as a worsening performance across the larger cities of Sydney and Melbourne which will provide a lower relative benchmark for Brisbane,” said Mr Lawless.

Key points within the report that support Brisbane’s possible future position include:   

• November 2017 – Sydney house values were 102% greater than Brisbane, and Melbourne 57% higher. Median income data shows Sydney households are only earning 12.9% than Brisbane, and Melbourne is 0.7% less than Brisbane.
• Dwelling price to income ration – Sydney 9.11, Melbourne 7.5, with Brisbane at 5.9.
• Gross annual household income required to service a mortgage sitting at 80% of the loan to value ration mortgage is 48.4% for Sydney, 39.9% in Melbourne, and 31.7% Brisbane.
• Net migration into Queensland is the highest of all states, beating Victoria for the first time since 2013, and the majority of the growth coming into the south east.
• Strengthening labour market in Queensland – the fastest growth in any state or territory at 4.8% in the year to November 2017 with 113,000 jobs created in Queensland in the year to Feb 2018 compared to 111,000 in NSW and 94,000 in Victoria.