Property outlook stronger

MEDIAN unit prices jumped 14 per cent in Townsville during the June quarter and the property market is predicted to strengthen, with millions being poured into the region through public and private investment.

The REIQ’s June quarter Queensland Market Monitor shows in the three months to the end of June, the median unit sale price jumped 14 per cent from $ 235,000 in March to $ 268,000 in June.

Despite the rise, median unit prices dropped in the last financial year by 10.5 per cent.

House prices dropped in the June quarter by 4.6 per cent to $ 315,000 while annually the house market fell 3 per cent.

Sales of units were mainly below $ 250,000 while sales of houses were predominantly below $ 350,000.

The report states that the Townsville house and unit market had struggled due to a weak economy but this was expected to improve in the third quarter of the year.

REIQ Townsville zone chairman Damien Keyes said Townsville’s strong renovators market, where property flippers were snapping up cheap homes, had impacted prices.

“They are buying homes at that lower price point so it’s not surprising that has driven that median house price to lower levels,” he said.

The report said Adani’s decision to base in Townsville is a key driver for economic recovery and that projects such as the North Queensland Stadium, $ 6 million expansion of Domain Central and $ 56 million proposal to expand the ferry terminal were “real examples of economic prosperity flowing into the region”.