Calamvale Joins Million-Dollar Club as Working-Class Suburbs Gentrify in Brisbane

Brisbane’s once affordable housing landscape continues to shrink, with Calamvale becoming the latest suburb to join the million-dollar median club. Seven previously working-class suburbs have crossed this threshold in just three months, bringing the total number of seven-figure suburbs in the city to 73.

This surge is attributed to “unstoppable” demand and the gentrification of mid- to outer-ring suburbs. Experts predict the city’s overall median house price could hit $1 million within a year.

Domain’s chief of research and economics, Dr Nicola Powell, explained that Brisbane’s property market is showing no signs of slowing down and more suburbs are expected to reach the million-dollar median due to the ongoing effects of gentrification. She noted that even high-end buyers are being priced out of premium suburbs like New Farm, which is approaching a $3 million median and are subsequently moving into traditionally more affordable areas.

Scarborough and Salisbury are poised to be the next suburbs to reach the million-dollar mark, followed closely by Cornubia and Manly West.

In Stafford, rising prices for renovated workers’ cottages exemplify this trend. Coronis North agent Jackson Oram noted that before the COVID-19 pandemic, a typical three-bedroom home sold for $650,000, but now fetches $900,000 with intense buyer competition.

Oram observed that many older residents in the area, who were traditionally in the lower-middle-class demographic, have been able to sell their homes for significantly more than they were worth in the past, often around $850,000. This has led to extensive renovations throughout the suburb and a shift in demographics.

Sunnybank, driven by Chinese buyers seeking a thriving community and good schools, has surpassed the million-dollar mark, reaching a median of $1,199,500.

Wynnum has also seen significant growth, with its median reaching $1.05 million. Raine and Horne’s Margaret Vote attributes this to southern buyers and inner-city locals seeking larger properties and lifestyle benefits. However, she warns that prices are escalating rapidly.

Strong demand and shifting demographics are driving Brisbane’s property market upward. While this may benefit existing homeowners, it poses challenges for first-time buyers and those seeking affordable housing options.

Published Date 08-July-2024