Sunshine Coast is hot property with unprecedented demand in 2020 driving up prices and depleting agents’ listings, while developers turn to greenfield developments to meet a growing appetite for coastal lifestyle.
Listing rates were at their lowest in 10 years at the end of 2020 with the increased move to remote working and Australians relocating to commutable lifestyle destinations.
SQM data shows that the total number of listings across the Sunshine Coast was down to 7,252 at the end of December, compared to a high of 12,910 in September 2011, with a substantial drop in long-term listings.
House and unit prices have reached a record high according to the Domain house price report for December quarter boosting the need for more greenfield development on the coast.
Total property listings, Sunshine Coast
^Source: SQM Research
Domain’s senior research analyst Dr Nicola Powell said the price growth in the Sunshine Coast had outpaced Brisbane.
“Sunshine Coast house prices are 10.2 percent above last year at $690,000. This is the steepest annual jump since 2008,” Powell said.
“Sunshine Coast unit prices rose 7 percent annually to $449,500.”
Residential developer Stockland is working to meet demand for property with construction of a $126 million greenfield project at Caloundra.
The Thrive Nirimba community will add 244 homes to the $5 billion Aura masterplanned community. Stockland’s masterplan for the site includes 2400 ha of residential community and a total of 20,000 homes.
But, contrary to popular opinion, Image Property Sunshine Coast agent Matt Nickerson said it was local buyers heating up the market.
Nickerson said locals were purchasing in locations they knew and loved, which was creating a “sustainable marketplace”.
“With interest rates so low, many buyers are prepared to pay a bit more to secure a property in a location that they will live in for the long-term,” he said.
“Research is key for anyone keen to secure a slice of coast real estate at present as well as acting quickly when a property comes on the market as it won’t last long.”
The rental market is also booming with a vacancy rate of just 0.4 per cent, the lowest in more than 15 years according to SQM data, creating an undersupply of properties and a landlord’s market.
Article Source: theurbandeveloper.com
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