Big sale points to recovery
CONFIDENCE in the Gold Coast residential real estate market is building off the back of the biggest sale in years and new data showing early signs of a comeback.
The real estate sector has been buzzing following a record $25 million deal for the Mermaid Beach home of beachclub developer and former AFL footballer Tony Smith and his wife Simone.
The unconditional contract, signed in an off-market deal on Monday night to a mystery Melbourne buyer, equals the price former Billabong shareholder Scott Perrin achieved for his Mermaid Beach mansion in 2016.
Harry Kakavas, the prestige agent who handled the sale, said such a significant deal during the COVID-19 period was a major vote of confidence in the Gold Coast market.
“The buyer has incredible faith in the Gold Coast being a very resilient property market,” Mr Kakavas said.
“People are still prepared to put their hand in their pocket to buy quality property.”
Real Estate Industry of Queensland Gold Coast zone chair Andrew Henderson said big-ticket sales in the current climate would have a positive effect on market confidence.
“If someone makes the decision to purchase a residential home for $25 million then that does give confidence to those also in a position to buy,” he said. “Real estate is a long-term investment so there’s comfort in that mindset.”
Indeed, strong turnouts are
being reported at open homes across the city as buyers embrace easing restrictions.
In a further sign of market confidence, Bulletin readers will today receive two editions of the real estate magazine, which has exceeded its 144page capacity for the first time in recent memory.
Positive real estate rhetoric and strong buyer activity are starting to have an impact on seller confidence too, with new data showing the first signs of a comeback.
Seller visits to the Agent Search section of realestate.com.au are up 15 per cent on the same time last year and 22 per cent up on a threemonth national average.
Visits that convert to an agent connection are up 2 per cent on the previous year.
“The increase in seller search activity is seemingly off the back of very high levels of buyer search activity,” reports REA chief economist Nerida Conisbee.