The Queensland property market recorded mixed performance throughout 2026 to date, with resilient fundamentals offset by higher interest rates, geopolitical uncertainty and elevated borrowing costs.
Industrial and retail markets continued to benefit from strong occupier demand and limited supply, although investment sentiment became more cautious as financing costs increased.
Brisbane’s CBD office market strengthened, supported by declining vacancy, positive net absorption and growing demand for premium accommodation. Investment activity improved, particularly from international capital, while alternative sectors including essential services, healthcare and self-storage continued to attract interest, underpinned by defensive income characteristics, demographic trends and institutional investment.
The residential sector remained resilient, supported by population growth, low rental vacancy and constrained housing supply. However, affordability pressures, elevated construction costs and labour shortages continued to challenge development feasibility and restrict new supply across Brisbane and South-East Queensland.
Broader economic uncertainty, successive interest rate increases and ongoing inflationary pressures weighed on investor confidence throughout 2026. Despite these challenges, demand for high-quality, well-located assets with secure income streams remained strong.
Looking ahead to 2027, market activity is expected to remain selective, with capital focused on prime and supply-constrained assets. Queensland’s strong population growth and resilient underlying demand should continue to support property fundamentals, although recovery will vary across sectors.
Our experts across valuation sectors share their analysis and insights in our latest Queensland Market Snapshot covering the year to date, as well as what to look out for during the remainder of 2026.
Click the link below to read the full Snapshot.
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