Brisbane was named the top-performing city in Australia for luxury residential price growth in the latest Knight Frank research, outperforming cities like Sydney and Melbourne.

Queensland’s capital held the 14th spot in the world rankings, with a 3.2% rise in the price of prestige property – defined as the top 5% of the market by value – over the year to March.

Sydney came in at 18th with 2.4%, Melbourne took 22nd place with 1.8%, and Perth was at number 23 with 1.8%

Brisbane’s market was performing well, with 16 suburbs in the million-dollar club, particularly at the $5 million-plus end, according to Antonia Mercorella, chief executive officer of the Real Estate Institute of Queensland.

Michelle Ciesielski, Knight Frank’s head of residential research Australia, said that there are several reasons for the strengthening Brisbane prime market.

 “Brisbane’s millionaire population continues to grow, prime properties continue to attract elevated interest from families migrating from Sydney and Melbourne, and local downsizers,” she told Domain.

That idea of a great value consistently pushes the migration of Sydneysiders and Melburnians north, as well as entices overseas buyers and ex-pats looking for a place to live in when they return home, said Judy Goodger, Place New Farm managing director.

The increasing willingness of banks to lend, migration, and lifestyle factors also explain why the Brisbane market is thriving, according to Domain Research Analyst Eliza Owen.

“We’re seeing in the data that a lot of Sydneysiders are now looking towards south-east Queensland to buy property at the higher end of the market,” she said. “Brisbane has currently 20% of the inquiries outside Sydney.”