Brisbane Property Market and Coronavirus
How is COVID-19 effecting the property market in Brisbane?
If you're looking to buy or sell, you likely want to know more about the property market and coronavirus.
The short term negatives
In the immediate future, times will be tough for anyone involved in the property market.
Because of the economic recession, a massive spike in unemployment, the impact of social distancing and restrictions on travel it is clear consumer confidence generally has plummeted.
This lack of consumer confidence is also found in the property market. Westpac has recorded the single biggest monthly drop in confidence in its 47-year history.
Not only that, but the crisis has seen many foreign residents and tourists return to their home country in recent weeks. This has negatively impacted the short-term rental market.
Banks are also not as willing to lend, as people’s ability to pay back loans is uncertain due to the volatility of the job market.
Overall, the slump in the market should be expected to continue for some time to come.
The long-term positives
In the long term, the prognosis for the Brisbane property market and coronavirus begins to look more positive.
There is every reason to believe the market will bounce back from this slump once the curve has flattened and restrictions are relaxed.
For one thing, once people can get out of the house again, people will want to travel. While international travel will be out of the question, interstate travel will be very appealing to many.
This will give the Queensland economy a much-needed boost.
During previous downturns, such as the one experienced in 2018/2019, Brisbane weathered these negative conditions better than most.
It was the first capital city to record growth in the June quarter of 2019, while other capital cities like Melbourne and Sydney suffered a drop in dwelling prices in that same period.
As such, it is likely Queensland will recover strongly.
This is not permanent
While things may look bleak now, it is important to remember this crisis will pass.
Now is the perfect time to begin projects you have long put off or to address problems that you have otherwise ignored.
One such problem you might seek to address is protecting your home from pests.