The state has continued to experience strong underlying demand which has resulted in a deficiency of housing as economic growth has accelerated and wages growth remained strong. Strong population growth has continued and with the slowdown in residential construction, this has resulted in a significant deficiency of housing that Zigomanis believes will drive the upturn in this region.

Consequently, Zigomanis forecasts price growth in the Brisbane market to be 5% in 2007/08 as economic conditions ease, with growth forecast to accelerate through to 2009/10. Total growth in the Brisbane median house price of 22% is forecast over the three years to June 2010.