September quarter figures confirm hinterland property boom
What’s Your Home Worth Now?
^ Indicates acreage sales only (with land size greater than 2400m2).
The latest quarterly data for Queensland property prices (September-December 2020) has confirmed what real estate agents, buyers and sellers already knew — prices are rising across the hinterland.
In fact, figures released by the Real Estate Institute of Queensland (REIQ) via its latest issue of the Queensland Market Monitor show prices increased by an impressive 6.1% over the quarter across almost every region of Queensland in the final three months of 2020.
Hinterland towns have well and truly felt the effects of this activity in the property market as people flock to the area for its many desirable lifestyle qualities.
Nambour, Yandina, Palmwoods, Maleny and Mooloolah Valley have experienced a significant surge in interest, and acreage and ‘lifestyle’ properties are in high demand. Over the past five years Nambour’s median property prices have increased an average of $79,500, Palmwoods have risen $89,501, Maleny median prices have gained an average $96,000 and Mooloolah Valley acreage properties have increased by a whopping average $155,000 in the same time frame.
While a lot of the increase in interest has been attributed to COVID, annual median property values have increased steadily over the past five years, so it would seem that there are a number of factors at play.
“As a result of the COVID-19 pandemic, we’ve seen Queensland’s property market perform in ways that go against every economic prediction made over the last 12 months,” says Antonia Mercorella, CEO of the REIQ.
“In fact, Queensland property has remained extremely stable, recording a steady rate of growth that’s really strengthened its market appeal. Between record-low interest rates, low stock availability for sale, improvements in consumer sentiment and Queensland’s unbeatable lifestyle, it’s no surprise we’ve also seen broader increases in values month on month in 2021.”
“While Brisbane continues to strengthen, it’s equally pleasing to see Queensland’s regional markets outperforming our capital city with widespread property demand and price increases recorded across most areas,” continues Ms Mercorella.
“At the tail-end of 2020, the Sunshine Coast remains the shining star of the Queensland property market.
“Not only has the Sunshine Coast achieved strong property price growth for houses at 7.7% over the year but the unit market is also firing albeit slightly stronger at 8.0%.”
With the Sunshine Coast firmly positioned at the top of the property ladder, it’s no surprise to learn that Noosa retained its title for the most expensive housing market in Queensland, achieving 15.4% growth to achieve a recording-breaking median house price of $900,000. Meanwhile units increased by 14.3% to achieve a record-breaking median unit price of $710,000.
“What’s helping propel property prices in particular is the fact that interstate migration is so strong,” adds Ms Mercorella.
“In fact, the Sunshine Coast, along with the Gold Coast, have been top destinations for internal migration for years now.
“And with minimal international migration at present, that internal movement is really benefiting our markets relative to other parts of the country. With positive economic results ushering in a New Year, Queensland is shaping up to be a strong bet for investors, with properties from the Gold Coast to the Sunshine Coast selling fast and on a solid foundation for capital growth in 2021,” says Ms Mercorella.
“When you consider Queensland’s unique attributes and market characteristics combined with historically-low interest rates, surging consumer confidence, and billions of dollars in infrastructure investment, and the scene is set for some of the strongest property growth we’ve seen in a very long time.”