Rampant land inflation behind 300% increase in home prices

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By Leith van Onselen

The Queensland Productivity Commission has released a new report into housing affordability which finds that:

Brisbane house prices have increased around 300% in real terms since 1986 (a bigger increase in than the Australian capital city average of 262%), primarily driven by the cost of land rather than the quality of housing. However, real prices have changed little since 2009, and, outside of south east Queensland, they have generally fallen.

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About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness. Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.