Top 5 suburbs to invest in 2021: Brisbane

Like other capital cities Brisbane has shaken off the short lived 2020 recession and is record house price rises over the last year. This has been driven by an intertwined range of factors including record low interest rates, low stock levels, government stimulus measures and an improving economy.  

Before we look at specific suburbs in Brisbane you should be researching, let’s first understand how you go about identifying a suburb with the potential for long term capital growth. 

How to identify a suburb with long term capital growth potential

If you are researching what Brisbane suburb to shortlist you need to look for areas that have specific conditions present that will ensure long term capital growth of your asset. Some factors to look for include:

  • Rising property values
  • Gentrifying community
  • Rising clearance rates at auctions
  • A decrease in the days on market (DOM) metric
  • Rising rental yields 
  • Low vacancy rates
  • Proximity to key amenities
  • Large infrastructure works planned in or near the area
  • Job creation initiatives planned in the area

If you are wondering where to access property data, you are literally spoilt for choice. Listing sites like realestate.com.au and Domain have a wealth of data for properties right across the country, as do RP Data/CoreLogic, the largest provider of analytics and property-related data.  You can also get market insights and data from state-based associations like The Real Estate Institute of Victoria (REIV) and Real Estate Institute of NSW (REINSW) provide market insights and data such as suburb reports and auction results. 

Before we look at individual suburbs with solid investment potential, let’s look at how the Brisbane market has performed over the last year, past quarter and month.  

Brisbane property market performance 2021

All dwellings (YTD): +10.6%

House: +9.5%

Units: +4.9%

Over the short term Brisbane’s dwelling values have advanced steadily, up +2.0% over May and +6.2% over the recent quarter. This brings this market to +10.6% over the YTD, which is about middle of the pack when compared to the other capital cities. 

With a median dwelling value of $574,572, Brisbane is still comparatively affordable, considering Sydney’s ($970,355) or even Melbourne’s median ($740,562). This affordability, coupled with the changed COVID lifestyle preferences has seen an influx of people moving interstate for Queensland’s undeniable liveability and sunny climate. In terms of the type of property, like other capital cities houses continue to outperform units, driven by a combination of factors that include oversupply, building quality issues and demand for low density housing. 

Top 5 suburbs to invest in Brisbane 2021

Now let’s look at five Brisbane suburbs worth investing in 2021, each with very different character, drivers and dynamics.

1. Wilston, 4051

Median house: $1,250,000

Median unit: $500,000

Wilston is a suburb 5.4 km from the Brisbane CBD which has median property prices of $1,250,000 (houses) and $500,000 (units). Over five years the suburb has recorded a compound growth rate of +6.2% for houses and +2.0% for units.

Wilson is gentrifying with larger, modern houses replacing the older cottages in the area. Public transport options are solid, including a train station and busway. It is also close to the airport and has some great schools in its catchment. 

According to realestate.com.au:

  • Houses rent out for $645 p/w with an annual rental yield of 2.7% 
  • Units rent for $380 p/w with a rental yield of 4.0%

2. Taringa, 4068

Median house: $1,087,500

Median unit: $435,000

With the University of Queensland and Queensland University of Technology on your doorstep expect this suburb to have a youthful feel. It is also surprisingly green being so close to the CBD, with median property prices of $1,087,500 (houses) and $435,000 for units. In terms of schools, the closest primary schools are in neighbouring Toowong, St Lucia and Indooroopilly. 

According to realestate.com.au:

  • Houses rent out for $495 p/w with an annual rental yield of 2.4% 
  • Units rent for $385 p/w with a rental yield of 4.6%

3. Holland Park, 4121

Median house: $851,500

Median unit: $387,000

Approximately 6km south of the CBD Holland Park has a lot going for it, with a mix of heritage listed Queenslanders, post-war and modern houses that is home to a mix of younger and more established families. There is also generous green space, an excellent selection of schools and lots of cafes/bars and restaurants in the suburb. 

In terms of property prices, expect a median house price of $851,500 and $387,000 for units. Houses have recorded compound growth of +5.1% over five years, while units have actually lost value -4.4% over this timeframe, which could be an opportunity to buy.

According to realestate.com.au:

  • Houses rent out for $500 p/w with an annual rental yield of 3.1%
  • Units rent for $415 p/w with a rental yield of 5.6%

4. Stafford, 4053

Median house: $851,500

Median unit:

With decent block sizes and a gentrification underway Stafford is shedding its patchy reputation to attract young families and couples. With the CBD in easy striking distance, affordability is the big drawcard for this postcode, with median prices of $680,500 (houses) and $350,000 (units).  Throw in proximity to shops, schools, hospitals and decent public transport to the city, which rounds off the package nicely. 

According to realestate.com.au:

  • Houses rent out for $450 p/w with an annual rental yield of 3.4%
  • Units rent for $370 p/w with a rental yield of 5.5%

5. Chermside West, 4032


Median house: $645,550

Chermisde West is popular with professionals, singles and families with children as it is close to the CBD, hospitals, good schools and the Westfield Shopping Centre – as well as numerous options for eating out.

Houses dominate in this suburb, with a median house price of $645,550. According to realestate.com.au:

  • Houses rent out for $480 p/w with an annual rental yield of 3.9% 
  • Units rent for $490 p/w with a rental yield of 5.0%

Most analysts expect that property prices will continue to rise in Brisbane through 2021 and into 2022.

Thinking of selling to take advantage of current house price growth? Then get in touch with Ash Frenken (CEO & Principal) at propper on 0409 397 173 or ash@propper.com.au for a no obligation appraisal and expert advice about your circumstances.

Ash Frenken

About Ash Frenken

An inspired entrepreneur with a vision to drive change in the Property Management industry.

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