QUEENSLAND
STANDOUT LOCATION:
Moreton Bay LGA: As economic improvement and attractive affordability put the focus on Brisbane, the most active market is the north. The Moreton Bay LGA includes key centres such as Caboolture and the Redcliffe Peninsula, where the new rail link adds to the bayside appeal.
2017 reviewed
Sunshine Coast: Many Sunshine Coast suburbs had double-digit growth in median prices last year, headed by Sunshine Beach (21%), Buddina (19%), Noosa Heads (19%), Caloundra (16%), plus Bokarina, Golden Beach, Moffat Beach and Woombye (all 14%-15%).
Queensland will be a state of contrasting fortunes in 2018. There will be growth markets, recovery markets, still-struggling resources locations and apartment markets that need to be avoided. Big investment is pouring into Queensland projects – mining, energy, transport, retail, commercial and residential – and this bodes well for real estate demand.
There are improved prospects for regional centres impacted by the resources sector. Vacancy rates have dropped in locations like Gladstone and sales activity has lifted in Townsville, Mackay, Rockhampton and Emerald.
The Sunshine Coast is being transformed by major spending on infrastructure and other developments, while Townsville is recovering after some difficult years and will be boosted in 2018 by major new developments.
The Gold Coast will generate hype over the Commonwealth Games but much of the lift has already been felt by the property market. The biggest impact may be negative: unit oversupply as developers overreact to a major event that might otherwise generate a boom.
Many investors have switched focus from Sydney and Melbourne towards Brisbane because of its cheaper prices and better yields. Affordable areas will do well in 2018, headed by the Moreton Bay LGA on the northern fringes and Ipswich City in the far south-west.
Be wary of the Brisbane inner-city unit market: vacancies are high and values are falling.