What’s happening?
Redland City posted the strongest quarterly house price rise in Greater Brisbane in the December 2025 quarter. Australian regions have surged in profitability last quarter, with the proportion of profit-making resales outdoing the combined capital cities, according to new Cotality data.
 Real Estate Institute of Queensland (REIQ) figures for October to December 2025 show Redland City’s median house price rose 7.37% to $1.12 million. That followed its move into the million-dollar bracket in the previous quarter.
Across Queensland, dwelling prices rose again over the quarter. REIQ said the main drivers were weak construction activity and fewer established homes being listed for sale.
Statewide, the median house sale price reached $955,000 in the quarter. Units also moved higher, with strong gains across Brisbane and several regional markets.
Brisbane’s median house price rose 4.07% to $1.4 million. Its unit median increased 7.14% to $825,000. Even so, several regional markets outpaced the capital.
Why it matters?
The latest figures point to the same core problem. Demand is staying firm, but supply is not keeping up.
That matters in Redland City because tighter stock usually means stronger competition. It also means buyers face fewer choices, especially in lower-priced parts of the market.
REIQ chief executive Antonia Mercorella said the state remains well behind its housing target.
“We’re still not building at the scale and speed we need to relieve the supply squeeze, and with every quarterly target not met, we’re falling further behind,” she said.
“Under the National Housing Accord set from mid-2024, Queensland needs to build just over 49,000 new dwellings each year over five years – however, over each of the last four quarters (data to September 2025), only about 34,000 new dwellings were completed.
“Further, the pipeline is far from full. In January this year, there were only 3,600 building approvals, compared with approximately 4,100 required each month. Approvals are currently running at 42,700 per annum – which is approximately 13% below the target. The properties we do have in the pipeline are heavily skewed towards high-end product – such as luxury apartments – due to high construction costs influencing feasibility.”
Local Impact
For Redland City, the result confirms how quickly the local market is moving.
Its annual house median was up 16.11% to $1,045,000, according to REIQ. That puts Redland City among Queensland’s stronger growth markets, while also making it harder for many buyers to enter.
The wider Greater Brisbane market also stayed active. Moreton Bay recorded a 6.45% quarterly rise in house prices to $990,000, while Brisbane remained the busiest house market by sales volume.
The supply issue is also being felt across the broader Brisbane market, which shapes conditions in Redland City.
Mercorella said, “Total listings during December 2025, show the Brisbane market had a 25% fall in listings relative to the equivalent period last year, while regional Queensland fell 15%.”
“This was not just a seasonal phenomenon, with recent February data suggesting similar shortfalls.”
By the numbers
- Queensland is still falling short of its home building target. Under the National Housing Accord, the state needs just over 49,000 new dwellings each year, but only about 34,000 were completed in each of the last four quarters to September 2025.
- Approval flow remains below what is needed. January 2026 recorded 3,600 building approvals, against roughly 4,100 required each month, leaving the annual run rate at 42,700, or about 13% below target.
- Selling times have stretched slightly. Houses across Queensland took a median of 22 days to sell, while units took 20 days, up three days on a year earlier.
Zoom In
Redland City’s result stands out because it came after already passing the $1 million mark in the previous quarter.
It also shows that buyers are still chasing established homes in well-located parts of South East Queensland, even as affordability worsens.
Mercorella said the pressure is coming from both limited stock and steady demand.
“These persistent supply pressures are what’s underpinning property price growth, along with ongoing demand-side factors such as high interstate migration, expected strong population growth, and rental market strain seeing tenants transition to home ownership.”
She said first-home buyers also received some support late in the year.
“First-home buyers were also buoyed by the Federal Government’s 5% Deposit Scheme this quarter which came into effect on 1 October 2025, lowering the deposit barrier to entry with property price thresholds of $1 million in Brisbane, Gold Coast and the Sunshine Coast, and $700,000 in other Queensland areas.”
Mercorella said competition remains strongest where homes are more affordable.
“Competition for housing is intensified around the lower quartiles of the market where affordability is greatest and it’s perceived potential gains are highest, and this demand tapers off as you move up the price spectrum, reflecting an increasingly divided two-speed market.”
Zoom Out
Queensland’s strongest annual house price growth came from regional centres. Townsville led at 21.15%, followed by Gladstone at 19.39%, Mackay at 19.27%, Rockhampton at 18.75% and Toowoomba at 18.11%.
Among quarterly house gains after Redland City were Cairns, up 6.9% to $782,750, Ipswich, up 6.75% to $856,000, Moreton Bay, up 6.45% to $990,000, and Townsville, up 6.25% to $680,000.
Brisbane recorded the most house sales in the quarter with 3,488. Gold Coast followed with 2,015, then Moreton Bay with 1,784, Logan with 1,455 and Sunshine Coast with 1,412.
Rockhampton and Toowoomba were among the fastest house markets, with median selling times of 14 and 15 days. Noosa was the slowest at 49.5 days.
In the unit market, Moreton Bay led quarterly growth, up 12.14% to $729,500. Bundaberg rose 12.09% to $510,000, Ipswich climbed 11.11% to $660,000, Cairns lifted 10.17% to $473,750, and Toowoomba rose 9.09% to $600,000.
REIQ said Rockhampton’s quarterly unit result, down 12.97%, was based on only 35 sales and was not statistically significant. Even so, its annual unit median was up 36.11% to $490,000, the strongest 12-month increase in Queensland.
Brisbane recorded 2,313 unit sales in the quarter, while Gold Coast recorded 1,438. Noosa remained the highest-priced unit market at $1.15 million, ahead of Gold Coast at $889,500, Sunshine Coast at $850,000 and Brisbane at $825,000.
Mercorella said wider cost pressures may make new supply even harder to deliver.
“While we’re all feeling the impact of global conflict at the petrol pump, the flow on inflationary impact to manufacturing and construction, through higher transport and logistics costs, couldn’t come at a worse time,” she said.
“Counting the cranes on the horizon has traditionally been a promising sign of what’s in the immediate pipeline, but with high-cost risks and exposure for builders and developers comes uncertainty.
“We’re already up against low productivity, rising material costs, and dire labour shortages in the context of Olympics-related infrastructure projects, so unfortunately this does not bode well for new housing supply.”
What To Look For Next?
If approvals rise and more homes are listed, price pressure could start to ease. Until then, Redland City may continue to see firm demand, especially in the more affordable end of the market.
