An article in the AFR outlines the recent increases in demand by foreign residential property investors in the Queensland property market.
According to the article based on the NAB’s latest quarterly survey foreign buyers account for 14.4% of new Australian property and 8.6% of established property.
Demand for new Queensland houses increased from 16.2% in Q3 2015 to 22.3% in Q4 2015, which is in contrast to NSW and Victoria’s performance over the quarter.
Could this mean as the article outlines, foreigners are drawn to more affordably priced markets? In WA this doesn’t seem to be the case…so this point is unlikely.
The real factor is the story in the Queensland market. The South East Queensland economy is picking up since the floods of 2011. Better economic activity has flow on effects to the property market. Investors will generally take advantage of this.