$511k drop: Qld top end hit by borrowing capacity crash

News Corp Australia Network

Just 10 months ago, a budget of $2.5m could have got you this Palm Cove stunner

---

Twenty-three southeast Queensland suburbs are now out of reach for even some of the most well-heeled buyers, with a $2.5 million budget just 10 months ago reduced to just over $1.86 million.

Since April last year, a buyer with a maximum purchase price of $2.5 million, and a borrowing capacity of $2 million, now has $1,861,250 to spend and a borrowing capacity of $1.489 million.

That represents a $511,000 drop in borrowing power in just 10 months, or the equivalent of the median house price in the Ipswich suburb of Collingwood Park.

MORE NEWS: Aussie pizza magnate lists mansion after buying $13m penthouse

Expert tips: Where to buy to make money in Qld in 2023

Homeowners face 50 per cent rise in mortgage repayment costs

Buyers shopping within that price range in April last year are now priced out of suburbs such as Hamilton, Ascot, Bulimba, Minyama, Tallebudgera Valley, Noosa North Shore and Broadbeach Waters.

Here we take a look at what they could have bought now if rates had not changed, and what they can now since the Reserve Bank of Australia began hiking rates, which now sit at 3.35 per cent – the highest in a decade.

MAXIMUM PURCHASE PRICE OF $2.5 MILLION

1. 42 Ashmore Street, Everton Park: $2.35m

42 Ashmore Street, Everton Park

---

2. 7 Mizzen Court, Noosaville: Price Guide $2.45m

7 Mizzen Court, Noosaville

---

3. 1 ‘Munbilla’ / 17 Colonel Cummings Dr, Palm Cove: Offers over $2.45m

1 ‘Munbilla’ 17 Colonel Cummings Dr, Palm Cove

---

4. 15 Bonavista Cres, Doonan: Offers over $2.395m

15 Bonavista Cres, Doonan

---

5. 40 Poinciana Place, Jacobs Well: $2.4m+

40 Poinciana Place, Jacobs Well

---

NEW MAXIMUM PURCHASE PRICE OF $1,861,250

1. 39 Lucinda Street, Taringa: Offers over $1.85m

39 Lucinda Street, Taringa

---

2. 116 Burley Griffin Drive, Maudsland: $1.82m

116 Burley Griffin Drive, Maudsland

---

3. 11 Longman Terrace, Chelmer: Offers over $1.785m

11 Longman Terrace, Chelmer

---

4. 12 Murphy Street, Scarborough: Offers over $1.8m

12 Murphy Street, Scarborough

---

5. 214 Esplanade, Pialba: Offers around $1.8m

214 Esplanade, Pialba

---