State’s econ­omy sparkles with prop­erty jewel

Flurry of buyer ac­tiv­ity pushes me­dian house price rise of 5.7 per cent on Sun­shine Coast, boost­ing Queens­land’s cof­fers

Sold On Sunshine Coast - - Market Review -

THE Sun­shine Coast prop­erty mar­ket has been the jewel in the crown for Queens­land’s econ­omy, adding 5.7 per cent to the me­dian house price in the year to March 2018.

The Gold Coast is the other part of this en­gine, driv­ing strong me­dian house price growth at a sim­i­lar rate.

Real Es­tate In­sti­tute of Queens­land CEO An­to­nia Mer­corella said the end of fi­nan­cial year hadn’t de­liv­ered the flurry of first-home buy­ers that many ar­eas were ex­pect­ing as the State Gov­ern­ment’s First Home Owner Grant boost ended and it re­verted to the stan­dard $15,000.

How­ever, many ar­eas within the Sun­shine Coast re­gion have ex­pe­ri­enced an ex­ten­sive rush of ac­tiv­ity, driv­ing stun­ning price growth lev­els.

Minyama, Dicky Beach and Bat­tery Hill were the top three sub­urbs for growth, de­liv­er­ing 43.9 per cent, 27. 4 per cent and 20.3 per cent growth over 12 months to March 2018.

“Th­ese ar­eas are clearly meet­ing buyer ex­pec­ta­tions with a mix of river and ocean views to choose from,’’ Ms Mer­corella said.

“It’s been a big year for Minyama as it be­came the first Sun­shine Coast lo­cal gov­ern­ment area sub­urb to join the mil­lion-dol­lar club, with a me­dian house price of $1.275 mil­lion.

It joins Noosa’s mil­lion-dol­lar sub­urb of Sun­shine Beach and th­ese two will prob­a­bly be joined by Noosav­ille in the next quar­terly re­port, with its an­nual me­dian house price of $948,500.

Her­ron Todd White Sun­shine Coast di­rec­tor Stu­art Green­sill said that from high-end hous­ing to af­ford­able units, the res­i­den­tial prop­erty mar­ket was still per­form­ing quite well across the dif­fer­ent prop­erty types.

“The first six months of 2018 saw a slight fall in the vol­ume of sales com­pared to this time last year,’’ he said, “but the main rea­son for this has been the lim­ited stock avail­able.

“Prop­er­ties and ar­eas that have good mar­ket ap­peal are still per­form­ing well.’’

Mr Green­sill said of the var­i­ous res­i­den­tial prop­erty types, ex­ist­ing dwellings and va­cant land were still out­per­form­ing the res­i­den­tial unit mar­ket.

“The lower end of both are in de­mand, par­tic­u­larly the sub $600,000 mar­ket.

“Prop­erty along the coastal strip from Caloun­dra to Noosa Heads as al­ways is in de­mand and well-po­si­tioned, good qual­ity ru­ral res­i­den­tial prop­er­ties in hin­ter­land lo­cal­i­ties are also gen­er­at­ing good in­ter­est.”

The mar­ket for prop­erty on the Sun­shine Coast is still be­ing heav­ily in­flu­enced by the in­ter­state mi­gra­tion from the south­ern states, Mr Green­sill said, as well as Bris­bane buy­ers re­lo­cat­ing north.

The south­ern end of the re­gion has two sub­stan­tial small-lot af­ford­able hous­ing es­tates – Aura at Caloun­dra and Har­mony at Palmview – that com­prise pre­dom­i­nantly sub $600,000 sin­gle unit dwellings.

“Land con­tin­ues to sell prior to ti­tles be­ing is­sued in most cases; how­ever, we have also be­gun to see a de­cline in in­vestor ac­tiv­ity with the tight­en­ing of credit and in­vestor loans by the banks re­ally tak­ing ef­fect.

“Land is still selling well at Bli Bli and Pere­gian Springs al­though the sup­ply of va­cant land in new es­tates gen­er­ally de­creases north of the Maroochy River with lim­ited sites avail­able.

The im­prove­ment in the pres­tige and higher end prop­er­ties has his­tor­i­cally been driven by a high per­cent­age of in­ter­state in­vestors from Syd­ney and Mel­bourne as well as ex­pats from over­seas.

This is es­pe­cially the case in the Noosa re­gion.

“The rel­a­tive af­ford­abil­ity when com­par­ing Syd­ney and Mel­bourne prices to those of the Sun­shine Coast demon­strates pretty good value,” he said.

“It also ap­pears that the Sun­shine Coast is fairly high on a num­ber of the lists of the baby boomers who have started to re­tire.

“The next large in­fra­struc­ture projects likely to give the coast an­other boost are the con­tin­ued de­vel­op­ment within the much an­tic­i­pated Maroochydore CBD as well as the Sun­shine Coast Air­port ex­pan­sion.

“Works to the Bruce High­way are also well un­der way which will pro­vide a much needed im­prove­ment to traf­fic flow once com­pleted.

“The next big game-changer is the Sun­shine Coast In­ter­na­tional Broad­band Sub­ma­rine Cable project which is still to be an­nounced. This project has the po­ten­tial to make the coast into a ma­jor tech hub.

“We are ex­pect­ing the Sun­shine Coast res­i­den­tial prop­erty mar­ket to sim­mer along in much the same fash­ion as the first half of 2018 with val­ues be­ing good.

“Net mi­gra­tion from the south­ern states is ex­pected to con­tinue now it ap­pears that the south­ern mar­kets are cool­ing and peo­ple are selling up and mov­ing north for life­style.”

PHOTO: JOHN MCCUTCHEON

Ae­rial pho­to­graph of the Sun­shine Coast. Mooloolaba Beach. Bris­bane Road. Mooloolaba Spit. Mooloolaba Es­planade. Mooloolah River. Parkyn pa­rade.

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