New wave ‘coming’
THE Gold Coast’s red-hot property boom is tipped to get a second wind once international borders reopen, a new report reveals.
The quarterly Urbis apartment essentials report, which analyses the city’s development industry, says a wave of investment will come once overseas visitors return to the Gold Coast.
Urbis senior consultant Lynda Campbell said border closures had helped change the buyer market, but she believed the eventual reopening of foreign borders would potentially create even greater demand for Gold Coast property.
“Overseas buyers have all but disappeared due to border closures, which has had an effect on investor-style product,” she said.
“In 2016, 23 per cent of buyers were overseas, compared to only 4 per cent during 2020.
“Of the projects we are monitoring which are ready to launch, at least 50 per cent of these are premium boutique developments.
“When international borders open it is likely that we will see increased activity in investor-style product, which is currently under supplied on the Gold Coast.”
The Bulletin on Wednesday revealed the city faced a deepening housing crisis because of a chronic shortage of units for sale.
A new Urbis consulting firm report showed there was just over three months worth of available units left in the city – if no new projects are finished.
Mayor Tom Tate said he expected overseas investors would return to the Gold Coast in coming years, but admitted the shortage of units was a serious concern.
“Yes, there is a crisis, especially if you are looking for a rental, like my kids are, ” he said.
“It is a really complex issue and one which is at the forefront of my mind, but it shows we need planned growth (with property) which is affordable.
“While the international borders are shut, there are no investors coming over, though some are buying through Zoom.
“I think we will be in high demand then but it also underlines why we need to go up, not out so that our infrastructure is affordable.”