Market indicators reveal a surge in property prices in Paddington and three other Western suburbs, driven by high demand from investors. In particular, Paddington is enjoying a high perception of liveability from the growing millennial market, who ranked it 10 out 10, a development that’s likely to fuel sales for years to come.
Paddington property searches are apparently the sixth most popular on Realestate.com.au for the state of Queensland. Nerida Conisbee, the site’s chief economist, said that this is usually a good indicator of future price growths.
The suburb also had double-digit home price growth for up to 16 percent a year in recent times.
Amidst this pandemic, cashed-up foreign property buyers are reportedly keen on investing in a house in Paddington because of its good lifestyle and how Brisbane, in general, has handled the COVID-19 crisis.
Other Queensland suburbs showing increased search activities include inner-city’s Teneriffe (7th), and the western areas of Indooroopilly (10th), Ashgrove (11th) and Red Hill (18th).
Apart from buyer demand, young families moving into suburbs could also influence long-term price growth. Ashgrove and Indooroopilly apparently show this trend. Schools in these areas are attractive to families with kids because of their commendable NAPLAN results in recent years.
Inner-city houses, even in the worst streets of the CBD, also command a higher price and can be a good long-term investment.
Ms Conisbee, however, said that COVID-19 may impact this projection. Ultimately, there could be house buyers who will prefer to live in regional sites, instead of the suburbs, as a result of the virus threat.