NOOSA, on the Sunshine Coast, has delivered the strongest growth in the state, with the median house price growing 6.9 per cent over the 12 months to June, and units growing 10.2 per cent, according to the REIQ Queensland Market Monitor, released today (September 10).
Noosa steals the title from Gold Coast, which has led the state for house growth for the past two quarters. Noosa’s annual median house price, from 862 sales in the year to June, is $695,000. The annual median unit price is $540,000.
Noosa is now Queensland’s most prestigious market, eclipsing the Brisbane LGA median house price of $673,000 and the Gold Coast LGA of $622,031.
REIQ CEO Antonia Mercorella said Noosa had all the ingredients for price growth.
“This is a highly desirable part of the world, with stunning natural features, world-class beaches, beautiful climate year-round, outstanding shopping and dining precincts, and, crucially, exclusivity.
“There is limited housing supply being added to Noosa and competition is obviously driving price growth.
“Looking forward, once the Bruce Highway upgrades are completed and commuting to Brisbane becomes more feasible, it’s likely we’ll see added demand for Sunshine Coast living,” Ms Mercorella said.
“This area would benefit from greater supply levels, undoubtedly.”
The rest of the Sunshine Coast region delivered similarly strong results for the year to June 2018. The Sunshine Coast LGA grew 6.5 per cent to a median house price of $575,000, from 4381 sales.
The traditional state leader, the Gold Coast, continues its strong growth trajectory, although it has slowed somewhat. Growth of 4.5 per cent delivered an annual median house price of $622,031 to Gold Coast house owners.
“This is not a completely unexpected result in the post-Games period as we see normal activity resume,” Ms Mercorella said.
The Gold Coast is the biggest apartment market in Queensland, selling more than 10,000 units in the 12 months to June 2018. It was also one of the few unit markets in Queensland to deliver positive growth, adding a slender 0.9 per cent to values to a median of $429,000.
Brisbane LGA delivered consistent, sustainable growth of 2.5 per cent to an annual median house price of $673,000. This market has delivered reliable growth in the region of 2 – 4 per cent, consistently, for a few years.
“Our house market has avoided the sharp peaks and troughs of a boom-and-bust cycle and we have delivered almost 30 per cent growth over the past five years. This is a very reliable market and many forecasters predict we will continue our steady progress for the next few years while other markets may enter a slump,” Ms Mercorella said.
The apartment market has not fared so well and median unit prices eased 2.2 per cent over the year to June 2018, to $440,000. This trend has been echoed statewide with most unit markets contracting in price.
“We are seeing parts of Brisbane still coping with some apartment oversupply. But we know that the population growth to the southeast corner is strong and as major transformative projects such as Queen’s Wharf begin to take shape, we are confident excess apartment supply will be absorbed. The apartment market is showing a degree of resilience notwithstanding sensationalist commentary from some quarters predicting drastic price falls,” Ms Mercorella said.