This transcript was generated automatically and may contain small errors.
Over the past five years, Brisbane has absolutely exploded. It doesn't feel like long ago. You could easily pick up a house for 400,000. But now, prices in many locations have more than doubled. But does that mean growth's done everywhere in Brisbane?
In this episode, I'm going to unpack five locations that still show solid signs of growth and market pressure moving forward. So if you think you've missed the boat on Brisbane, listen close, because it's time to unpack where Brisbane's only got real growth left in these five locations. I'm Junge Ma, lead research analyst at InvestorKit. Let's get into it. Brisbane has done so well in the past five years.
Now it feels like everywhere should be slowing down. But is that the truth? In selecting these five locations, in five SA3 regions, we're actually still seeing high or improving sales market pressure and high and improving rental market pressure, indicating that in the short term, growth should be continuing. Now let's start from the first region, Cleveland, Strathbroke. It is 25 kilometers southeast of the Brisbane CBD.
In the past year, median house price has increased by 12 percent, and the three-month rolling median price trend line is not showing any signs of slowing down. The healthy growth is backed by the increasing market pressure. Inventory level has been decreasing since late 2023, now sitting at 3. 7 months of stock. And the declining trend is not showing any signs of slowdown.
And at the same time, days on market has decreased to the lowest level in two years. And the rental market pressure is also increasing. Vacancy rate has been trending downward over the past two years, from above 1 percent to the current 0. 8 percent, showing that housing demand is actually increasing. And what's more, the past 10-year annualized growth in Cleveland, Strathbroke is now just 6.
5 percent, still well within the range of a 5 to 7 percent a year long-term average. So given the increasing sales market pressure and tight rental market, it is very likely that last year's healthy growth will be continuing. Now, region number two, Chermside, just 10 kilometers north of Brisbane CBD. In the past one year, house prices there have grown by 11. 4 percent.
If we just look at the 12-month rolling median trend line, it seems that growth has slowed down and flattened. However, if we check the three-month rolling trend line, there's actually an uptick in recent months, probably simulated by the interest rate cut. Sales market pressure is high. Inventory level is still below two months of stock. It increased slightly last year, but in early 2025, the increase has actually stopped.
In May 25, we are seeing this downward trend, but overall, we would need more time to be able to tell if that downward trend would continue or it could be just a temporary fluctuation. Then days on market. Days on market has been slowly trending upward since late 2024, but overall, it is not surging like what's happening in other regions. And 17 days on market is actually very tight. Now in the rental market, vacancy rate has been stabilized at around 0.
5 percent. That's crisis level. So overall, housing demand remains high in Chermside. Now region number three, Sunnybank, 15 kilometers south of Brisbane CBD. Last year, growth has slowed down and in one year, price only achieved 7 percent growth.
But in recent months, we are seeing signs of recovery in the three-month rolling median trend line. This recovery is backed by the improving market pressure. Inventory has been trending downward over the past two years, now just above two months of stock. Days on market has also been trending downward overall over the past two years, now just above 20 days. So overall, in Sunnybank, sales market pressure has been improving and that improvement in market pressure will support its price growth recovery.
In the rental market, vacancy rate was increasing in 2024. However, in the past half a year, it has been declining again, indicating improving rental market as well. Region number four, the Hills District, 20 kilometers northwest of the CBD. Median house price increased by 11. 5 percent in the past year.
In recent months, three-month rolling median trend has been very much in line with the 12-month rolling median trend, showing steady growth potential in the short term. And again, this steady growth is supported by high market pressure. Inventory level now is 2. 3 months, down from three months two years ago. And days on market is also staying at around the lowest level in almost two years.
In the rental market, vacancy rate has dropped from close to 1 percent to the current 0. 5 percent, indicating really strong improvement in rental market pressure. And final region, North Lakes, 30 kilometers north of the CBD. Last 12-month growth was close to 13 percent. Growth slowed a bit towards the end of 2024, but now the three-month rolling median price trend is showing signs of speeding up.
Again, we are seeing high market pressure in both the sales market and the rental market. Inventory now is two months of stock. It actually increased just slightly from last year's 1. 5, but now it has stabilized, not continuing to surge. Days on market is stabilized at around 14 days, extremely low, and also it is not increasing.
So market pressure is remaining at a high level. In the rental market, vacancy rate stays at 0. 5 percent, the crisis level. Housing demand overall is remaining high. So to summarize, what these five locations have in common is one, high or improving sales market pressure, two, high or improving rental market pressure, both indicating high housing demand relative to supply.
As a result, price growth in these regions were either quite strong and will continue or was slowing a bit, but now showing signs of speeding up. So the important thing I want to leave you with is that just because a market has performed well doesn't mean it's completely done. This is why we always refer back to the data. Because how easy it would be to write off these markets we've just spoken about. Because we've just heard someone say Brisbane is all done.
And logically, it would make sense. But when you look a little closer to the data and you know where to look, you can find a lot of extra dollars hiding in the data that everyone else misses. And that is what I want you to take from this episode. I'm Junge Ma, lead research analyst at InvestorKit, and I'll see you next time.
