Industry warns housing supply must keep pace as Sunshine State absorbs thousands of interstate arrivals each year
Queensland retained its position as Australia's top destination for interstate migrants, with New South Wales remaining the primary source of arrivals, according to analysis by the Real Estate Institute of Queensland (REIQ).
Queensland recorded net interstate migration of 21,595 persons in 2024–25, with NSW contributing 24,328 departures — the largest source of any state or territory. Western Australia was the only other state to record positive net interstate migration, at 10,288 persons.
NSW accounted for approximately 60.3% of Queensland's net interstate migration gain, or around 13,000 of the 21,600 people who relocated from that state. Queensland's overall population increased by approximately 98,000 people, representing a growth rate of 1.8%, above the national average.
"Queensland's overall population growth of 1.6% has easily outpaced New South Wales' 1.2%, and in particular, the Sunshine State has proven to be an incredibly strong magnet for interstate migrants," said Antonia Mercorella (pictured right), chief executive of the Real Estate Institute of Queensland (REIQ). "In 2025, Queensland gained 16,528 people from interstate migration, while New South Wales lost 21,465 people.
"The only other state with positive net interstate migration was Western Australia with 10,410, so Queensland comes out on top again. In fact, there is an expectation that Brisbane will buck the predicted national downturn in property values, because of Queensland's unique set of circumstances including a significant supply shortfall, sustained demand pressures and strong long-term growth drivers.
"It's hard to see how that wouldn't be the case, with all that's on the horizon for the city and the state – namely, just a little thing called the Olympics. Our lifestyle is hard to beat, and when you look at the migration figures, it's clear which way the cockroaches are scurrying."
Cotality's June quarter Home Value Index shows Brisbane's median dwelling value stood at $1,118,306, below Sydney's $1,265,608, though the gap between the two markets has narrowed. Meanwhile, regional Queensland's median dwelling value of $855,835 surpassed regional NSW's $841,198, with Queensland's regions taking the lead since March 2026.
Despite the rise in regional Queensland values, demand for those markets remained firm. The Sunshine Coast held its position as Australia's top regional migration destination, attracting 8.8% of Australia's total net internal migration over the 12 months to March 2026, according to the Regional Movers Index. The Fraser Coast ranked third nationally at 3.9%, while Toowoomba and Townsville recorded annual growth in net capital-to-regional migration of 236.4% and 159.7% respectively.
Queensland's economic growth has also outpaced NSW over the long term. Since 1989–90, the earliest year for which Gross State Product data are available, Queensland's economy has expanded at an average annual rate of 3.6%, compared with 2.3% for NSW.
Mercorella said the state's sustained growth carried an obligation to address housing supply constraints.
"Queensland's growth story should be celebrated, but it also reinforces the need to tackle our housing shortage with urgency," she said. "If we want to keep attracting workers, families and investors, we need to make sure we're building the homes, communities and infrastructure that support a growing population."
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