House Price Shock: You Need to Earn $180K to Buy in 2026

Hopefully, home hunters who buy in Brisbane next year will need a $13,000 salary increase to keep up with the leads of the 2032 Olympic and Paralympic Games.

Finder.com.au has a shocking model of SQM Research’s forecast, showing that if prices rise at forecast rates, households will need to earn $180,732 in annual income in average homes in early 2026, while prices rise to $633,000 in some sub-cities.

The venue and infrastructure blueprint for the Olympics was announced after the Prime Minister’s high heels, and experts predicted that prices in surrounding suburbs would rise, such as Bowen Hills, Kelvin Grove, Kelvin Grove, Herston, Fort Valley and Woolloongabba.

Related: Buying home in every capital revealed requires a shocking salary

Data shows that by early 2026, the current average annual household income is $167,351, and an increase of $13,381 is needed to be made in order to achieve median homes in Brisbane, with house prices forecast to rise 14% in early 2025.

In Adelaide, the average increase in revenue required is nearly $11,000, but for Sydney and Melbourne, it’s a different story, with real estate analytics predicting that income requirements for buying a home will actually drop next year.

PRD’s separate price growth forecasts suggest that by 2026, house prices close to Olympic venues and infrastructure in the suburbs may increase.

More: Housing prices will flourish in the suburbs of the 2032 Olympic Games

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The study predicts that Perseverance Valley prices will rise by 16% and that Bowen Hills and Chandler will be 13.5%, meaning that housing in suburban areas will require higher income next year.

With these forecasts, aspiring homeowners will need to earn an additional $45,500 to buy a home in Fortitude Valley in 2026, while Bowen Hills ($441,800) and Chandler ($633,696) have an extra $32,000 ($441,800).

How much money do you need to make to buy in 2026

Source: prd and finder.com.au

Finder.com.au Insights manager Graham Cooke said the additional annual income required to rise in average prices with Brisbane will bring more likely home buyers out of the market.

Mr. Cook said most aspiring homeowners may not upset such wages, but rather depend on the price going up much faster than their wages.

“The need to make more money in the year will make the struggle to buy a home even harder,” Mr. Cook said. “It’s already a challenge and it will make it even more challenging.

“In most places, it is no longer possible to buy a house with a single income. Unless it is an apartment, the (concept) that a job is enough to enter the market is long gone.”

Mr. Cook said the benefits of small rate cuts will be reduced by price increases.

“As long as the price rise is greater than the wage increase, even if the buyer can reduce interest rate relief, it will continue to become more affordable,” he said.

PRD chief economist Diaswati Mardiasmo said the expected rise in property prices, especially around Brisbane Olympic infrastructure, will position many people from the housing market.

“Salary growth in Brisbane will be difficult to keep up with price growth,” Dr Mardiasmo said.

“Most of these places have been considered high-end markets.

“What we might see is an increase in interstate and international buyers who see the million-dollar price as a more affordable price relative to their original homeland.

“Then, local Brisbane buyers may need to look at units that are opposite to the homes to get them onto the market in these areas.”

From an investment perspective, Dr. Mardiasmo said history shows that it would be wise to buy in some of these suburbs now.

“Now, people are not only going to be before prices rise further (as other major Olympic suburbs do), but also because new stocks may be restricted in the near future,” she said. ”

“We know that construction takes time and with the increase in infrastructure, our more of the construction industry, coupled with the rise in new residential costs in Brisbane over the past three months, new residential buildings may be delayed longer than expected.”

However, not everyone predicts such strong growth in Brisbane housing prices.

KPMG’s forecast further limits suggest that by the end of 2026, a $5,400 salary increase will be needed to keep up with Brisbane’s housing price growth rate, about $2,200 a year, to keep projected actions expected in the apartment market in sync.

Finder.com.au uses median price and interest rate data modeled by two different independent property forecasts from SQM Research and KPMG to determine if a person needs to make money to keep up with the market.

Compare this modeling to how much money you need to earn each year to buy a home at a median recorded in January without the pressure of mortgage loans.

Both KPMG and SQM studies depend on the likelihood of interest rate reductions in 2025, while salary analysis included two 0.25% interest rate reductions in the year.

This analysis assumes a mortgage of 20%. Revenue requirements for early 2025 are modeled at an average rate of 6.1%. Calculate 2026 numbers at a rate of 5.6%.

If the repayment does not exceed 30% of the total annual income, the property is considered “affordable”.

Real estate agent CEO Damian Hackett said Brisbane’s 2032 match will result in billions of dollars invested in key areas of the city, which is expected to increase property value and attract long-term growth.

Mr. Hackett identified eight inner city suburbs, namely “strong growth over the next seven to ten years,” including Hurston, Kelvin Grove, Spring Hills, Bowen Hills, Fort Valley, Voloren Gababa, East Brisbane and Kangaroo Point.

“The development of these infrastructures will increase connectivity in Brisbane, thereby creating major residential opportunities that will change the city’s real estate landscape,” he said.

It is also expected that prices will also rise in prices due to their proximity to Olympic infrastructure.

Several regional areas are also needed to see price increases, including parts such as the Gold Coast, Cairns, Townsville, McKay, Lower Sunshine Coast, such as Maroochydore, Whitsundays, Rockhampton and Maryborough.

Antonia Mercorella, CEO of the Queensland Real Estate Institute, said the new site and the announcement of the accompanying infrastructure will “significantly improve the livability and connectivity in Brisbane and may create long-term improvements in property value”, especially in the suburbs of the inner city.

“The announcement of the program marks a turning point, and has sparked new optimism and excitement in becoming hosts of the Olympics in Queensland and Brisbane, and we hope this momentum will be reflected in the growing interest in our local real estate market,” she said.