Foreign buyers are spending more on residential property on the Gold Coast than anywhere else in Queensland, according to research conducted by Lynda Campbellof Colliers International.

Compiled by Colliers' Gold Coast office, the report indicates that of the $547.7 million spent in Queensland by foreigners in the last financial year, the Gold Coast represented $269.2 million, or 49% of the total. Brisbane City followed in second place, receiving $111.8 million,while Cairns replaced Noosafor third place. www.apr.com.au

Residential real estate industry leaders have welcomed the election of the Rudd government. With Labor in power federally and in every state, industry leaders expect a new era of co-operation on issues such as infrastructure funding and taxes.  But they warn Labor must do more to solve the housing affordability crisis by investing in infrastructure, freeing up land for building and reducing development taxes.

BRISBANE house prices will rise by as much as 40 per cent ahead of a nationwide residential property boom in three years, according to a leading economic forecaster.

In a bleak message for future home buyers, BIS Shrapnel chief economist Frank Gelber said present prices were as affordable as housing was going to get. Dr Gelber predicted a further two, possibly three, interest rate rises over the next 12 months, which would keep the lid on housing supply.

Adelaide has led a housing market rebound that has seen house prices Australia-wide increase 6.6 per cent in the first half of 2007. The 11.6 per cent price increase for the city of churches was followed by a 10.6 per cent rise for Brisbane and a 7.9 per cent increase for Melbourne.

INVESTMENT in residential property is back in favour as data shows record levels of investment during April 2007 as people bet on a stronger property market and capital gains in 2007.

The AFG Mortgage Index shows that last month 33.8 per cent of mortgages were sold to investors rather than owner occupiers in April – an increase on March’s all time high of 32.9 per cent and a significant increase on the figure of 28.3 per cent recorded 12 months ago.