One thousand people or 385 new households are moving to Queensland each week, with 775 of those – 300 households – heading to the southeast, according to August 2018 research.
Mark McCrindle, demographer and principal of McCrindle Research said southeast Queensland’s population boom is being driven by a triple green light for growth: liveability, housing affordability and strong and diverse economies.
His firm conducted the research in response to Australian Bureau of Statistics (ABS) figures which showed the state’s population was racing towards five million people. It has since surpassed that figure.
McCrindle said southeast Queensland’s population growth is coming from three areas.
“There’s a natural increase in the population due to Queensland’s younger demographic compared to the national average [meaning more births]. Net overseas migration and interstate migration is also high,” he told InSynergy.
“Queensland gains more people from the other states than it loses,” he added.
Triple green light for growth
The migration appeal of Queensland is driven by housing affordability, a thriving and diverse economy and what many see as an enviable lifestyle. McCrindle described these as the ‘triple green light’ for growth.
“Queensland’s growth has consistently been one of only a few states that have the triple green light,” he said.
“The southeast is big enough for a wide range of businesses in retail, dining and tourism and that helps to build a strong and resilient economy.”
Yet it has that scale without overwhelming residents with congested roads and long commutes, McCrindle added.
Brisbane and the coasts reign supreme
Southeast Queensland – which includes Brisbane, the Sunshine Coast and the Gold Coast – is the migration hotspot according to McCrindle.
“That area is rocketing ahead. Brisbane has had really solid population growth of 2 per cent over the last year and the Gold Coast and Sunshine Coast have both seen a 2.5 per cent uplift,” he said.
This is compared to a national average growth rate of 1.7 per cent and even negative growth in some areas which are dependent on volatile industries like mining.
“Other parts of Queensland, like Mackay and Gladstone, have less diversified economies and are more susceptible to the boom-bust cycle,” McCrindle said.
He expects southeast Queensland’s growth trend to continue.
Perhaps the biggest drawcard for people moving to Queensland is housing affordability.
Sydney and Melbourne property is unaffordable compared to typical household incomes and this – combined with the lifestyle and economic factors – is a major contributor to the great southeast Queensland migration.
For property investors looking for good returns, this population boom will see increased housing demand which will drive strong rental yields and ultimately, excellent capital gains.
Contact inSynergy to learn which areas in southeast Queensland are set to boom the most.
Important Note and Warning: This information is general in nature and should not be considered personal tax advice. We highly recommend you discuss these concepts with your accountant, property investment adviser and investment finance mortgage broker jointly to ensure any considered concepts are suitable for your personal financial situation, as one effect of the concept may negatively impact another part of your plan.