Apartments in the inner-city suburbs of Brisbane, such as Fortitude Valley, have seen a spike in demand in the first four months of 2021, according to new figures revealed by the National Australia Bank.
The financial institution said that lending activities for first home buyers in Australia’s metro markets rose to 13 percent, slowly making city-dwelling popular again.
In Fortitude Valley, the change in lending activities was at a whopping 486 percent. Median prices for an apartment unit in this inner city have landed at around $433,000 for the first quarter. It has risen to $444,225 by 25 June.
According to NAB, city apartments have always been appealing because it’s easy to get around various essentials just by walking. But NAB Executive of Home Ownership, Andy Kerr, said “record low-interest rates and government incentives” have also pushed first home buyers to invest in inner cities.
However, it’s still spacious homes in the outer suburbs that are driving demand in the country’s overall housing market. Regional activity across Australia has risen to an outstanding 84 percent compared to demands for dwelling in the city.
Incidentally, the bank has started accepting applications for its next batches of the First Home Loan Deposit Scheme as of 1 July 2021.
Meanwhile, despite the recent snap lockdown affecting Brisbane from July 1 to 3, Fortitude Valley’s market achieved a record sale of the “ugliest house” in the inner-city suburb for $1.535 million.
The home on 43 Arthur Street once belonged to a family for 25 years but the owners have moved to Coffs Harbour to retire. Four buyers were interested in the property, which stands in a great location but the owners closed the deal with the buyer offering the best price before the house was supposed to be auctioned.
