Brisbane first home buyer income requirements are rising sharply, with the latest data revealing households now need over $170,000 to buy a median-priced home without mortgage stress. Compared to pre-COVID levels, that’s a near $100K jump — pushing many first-time buyers to the edge of affordability or out of the market altogether.
According to Canstar's analysis, as of May 2025, a household in Greater Brisbane needs an annual income of $171,862 to purchase a median-priced house without experiencing mortgage stress. This marks a dramatic rise from $72,628 in March 2020, reflecting a $99,234 increase. For units, the required income has surged from $52,164 to $120,490 over the same period.
This escalation places Brisbane just behind Sydney, where households now require an income of $272,737, up $145,671 from 2020.
The sharp rise in income requirements is attributed to a combination of factors, including limited housing supply, increased demand, and stringent lending criteria. Buyers agent Melinda Jennison notes that "rapid price growth across Brisbane, and many regional areas across Queensland, has pushed entry-level homes out of reach for many first-home buyers." She also highlights that strict lending criteria, including 3% serviceability buffers, are making it harder to qualify for loans, despite recent declines in interest rates. couriermail.com.au
PropTrack's latest Home Price Index indicates that Brisbane's median house price rose to $998,000 in May 2025, with the combined median dwelling price (houses and units) increasing by 8.38% annually to $889,000. Notably, unit prices have outpaced houses, growing by 11.42% compared to 7.8% for houses. realestate.com.au
In response to the affordability crisis, the Australian government has introduced and expanded several schemes aimed at assisting first-home buyers. The 'Help to Buy' shared equity scheme allows eligible buyers to purchase a home with as little as a 2% deposit, with the government contributing up to 30% for existing homes and 40% for new properties. Recent adjustments have increased income caps to $100,000 for singles and $160,000 for couples or single parents, and property price caps have been raised to align with average house prices in each capital city.
Despite these initiatives, critics argue that such schemes may inadvertently fuel further price increases by boosting demand without addressing supply constraints. Economists emphasize the need for comprehensive strategies that include increasing housing supply and reforming taxes and regulations to effectively tackle the housing affordability crisis. dailytelegraph.com.au
Given the current market conditions, first-home buyers are exploring various strategies to enter the property market:
Utilizing Government Schemes: Programs like the First Home Guarantee and Help to Buy can reduce the required deposit and provide financial assistance.
Considering Alternative Locations: Exploring suburbs with more affordable housing options can make homeownership more attainable.realestate.com.au
Adjusting Expectations: Opting for units or smaller properties may offer a more feasible entry point into the market.
Seeking Professional Advice: Consulting with mortgage brokers and financial advisors can help identify suitable financing options and navigate the complexities of the market.
For comprehensive guidance, resources like The Australian Guide to Buying Your First Home by Robbo Roper and Mortgage Geek Home Buyers Handbook by Jason R. Richardson offer valuable insights into the home-buying process.
As Brisbane's property market continues to evolve, staying informed and proactive is crucial for first-home buyers aiming to overcome the significant financial hurdles and achieve homeownership.
Looking to buy in Brisbane? Check out our sales listings here.
Brisbane’s 2032 Olympics Boost: Why Herston, Bowen Hills & Fortitude Valley Are the New Investment Hotspots
With the countdown to the Brisbane 2032 Olympic Games underway, the city is undergoing a transformative infrastructure boom — and savvy property investors are taking notice. Strategic areas such as...
