Where will Brisbane construct new homes to house 3 million people by 2028?

Brisbane is one of the states with the fastest rates of growth, and by 2028, the population of the metropolitan area will have surpassed 3 million. So, where are all of these people going to live?

In a recent release, Dr. Diaswati Mardiasmo, chief economist for PRD, addressed the issue at hand by asking: Where are the future homes in Greater Brisbane hiding?

The economist said, "It may seem like a simple question, but it is acknowledged by many as a wicked problem."

The Greater Brisbane region could reach three million residents by 2028 if it continues on its current course. Furthermore, during this decade, the Greater Brisbane region may house more than half of Queensland's population. To determine where many of the homes will be built to accommodate this increase in population and whether they will be sufficient, Dr. Mardiasmo examined planning and capacity throughout the region.

Dr. Mardiasmo emphasised that the region's growth is anticipated to remain strong and listed the specific elements that make Brisbane's region so alluring to both domestic and foreign migration.

"Compared to Greater Sydney and Melbourne, Greater Brisbane had a starting price point that was, and still is, significantly lower. Before the May 2022 cash rate increase, the median house price in Greater Sydney was roughly $1.4 million, higher than the comparable figure in Greater Brisbane, which was roughly $800,000.

Dr. Mardiasmo pointed out that Greater Brisbane was the only significant city to experience an increase in interstate migration during COVID-19, despite the fact that demand in all capital cities is rising.

This caught the state off guard, she said. She explained that housing is already at a premium in the Sunshine State capital region, where demand is expected to remain high.

Supply and demand are already seriously out of balance, which is creating a housing crisis.

Given that demand is expected to outpace supply for the next 10 years, which will put constant pressure on house prices, this means that the Greater Brisbane area is in a position where it must play catch-up.

Unfortunately, not all of the projected supply may be built, the economist warned, due to construction costs and potential difficulties like labour and material shortages, financing requirements, or local government red tape.

Even if not all of the construction takes place, there are a few locations that already seem to be hotspots for high and medium-density developments and will be better equipped to accommodate the area's new residents.

For instance, Brisbane City Council is increasing density in prime inner-city and underutilised suburban land. The majority of the top 10 and top 20 confirmed apartment projects across Greater Brisbane are scheduled to be built in Brisbane City, with a concentration mostly along the Western corridor. These include East Brisbane, Toowong, Hamilton, Bowen Hills, Fortitude Valley, Milton, West End, Woolloongabba, and Kangaroo Point.

Meanwhile, Richlands, Mackenzie, Sunnybank Hills, Everton Park, and Rochedale are where most confirmed townhouses are located. Shailer Park, Browns Plains, Loganholme, Caboolture, and Redbank Plains all have confirmed townhouse developments.

Additionally, as it searches for additional land to develop for homes, the Queensland state government announced a review of its South-East Queensland Regional Plan to allow for the construction of stand-alone dwellings.

Dr. Mardiasmo warned that the current plans will not be able to keep up with demand, despite the fact that the area is anticipated to experience a surge in construction in the upcoming years.

She stated that now is the perfect time to create "innovative strategies to expand the market's housing options. This might entail accepting a range of property types, some of which might be new to us right now.