Demand for housing will increase significantly in Queensland as population is expected to top 8.653 million people over the next 50 years.
According to the latest data from the Australian Bureau of Statistics (ABS), population in the sunshine state is projected to jump by 4,562,911 between 2007 and 2056 – the largest increase across Australia.
Although Sydney will remain the most populous city, Melbourne is expected to take in the biggest increase in population with more than 3 million people expected to arrive in the city in the same period. Melbourne’s population is expected to reach 6.734 million in 50 years compared to Sydney’s 6.928 million.
Western Australia is also forecast to attract a large number of new residents. By 2056, population in the state is expected to surge by 2.193 million people to 4.252 million.
Australia’s current estimated population of 21.0 million people is projected to increase to between 30.9 and 42.5 million people by 2056, and to between 33.7 and 62.2 million people by 2101.
The ABS report also noted that the number of people aged 65 and over will grow significantly in 50 years.
Cameron Kusher, research analyst with RP Data, said this will present further challenges for future housing demand, which will place upward pressure on housing as many of these people are likely to live alone or as a couple, thus creating a greater demand for housing via smaller household sizes.
“It will be interesting how we handle this area of growth as people in this group will create the greatest demand for lifestyle and retirement properties,” he noted.
Kusher added that the strong population growth projection is a solid indication that the demand for housing will continue to be strong despite the current low consumer confidence.
“Based on supply fundamentals and increasing demand, a shortage of housing stock is likely to translate into future pressure on housing prices.”
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now