Waterfront Property outperforms in QLD

Living the good life next door to a golf course, and the allure of waterfront property, help explain the top performing suburbs in Queensland last year.

The latest Real Estate Institute of Queensland (REIQ) figures show that when it came to house price growth in 2007 you couldn’t go past the Brookwater golf community. Median house prices in the Ipswich suburb increased 62.8 per cent to $590,000 in the 12 months to the end December.

“While Brookwater’s median over the year was affected by varying quality of stock sold – including new properties – the result reflects the desire of many people to live in a new suburb close to all facilities, and of course, the Greg Norman-designed golf course doesn’t hurt either,” REIQ chairman Peter McGrath said.

Coming in at number two for houses was Calliope, 20km southwest of Gladstone, with its median up 56 per cent to $352,500. The suburb is benefitting from its seaside location as well its proximity to resource-rich regions.

Number three was Pioneer in Mt Isa – the top performer last quarter - with a median house price increase of 53.7 per cent to $315,000 in the 12 months to the end of December. Together with other mining suburbs in the Top 10, Pioneer continues to perform well due to the strength of Queensland’s resources sector.

When it comes to units and townhouses, six of the top 10 performing suburbs for last year were located in Noosa. While this can be partly attributed to the number of waterfront properties sold as well as new developments it just goes to show that you just can’t beat prime locations.

Top of the Noosa, and Queensland, performers was Peregian Beach - located south of the busier, pricier Noosa Heads - with its median unit and townhouse price increasing 98.7 per cent over the year to $377,500.

“While the number of new properties and waterfront properties sold helped Peregian Beach come out on top, it is benefiting from its coastal location and a median price substantially lower than the more famous Noosa Heads.”

Number two for units and townhouses in Queensland was Milton, an inner city suburb of Brisbane. The suburb’s median increased by 90.4 per cent to $695,000 over the year due to a number of new properties and properties with water-views sold over the period.

And rounding out the top three for units and townhouses was Eagleby, previously in the Gold Coast, but now part of the Logan Shire. The suburb’s median is up 88.8 per cent to $260,500. With housing affordability continuing to decline, Eagleby is continuing to benefit from its extremely affordable price tag.

Queensland’s unit and townhouse residential property sector mirrored the State’s house market last year with healthy price growth recorded across most parts of the Sunshine State.

The release today of the Real Estate Institute of Queensland’s (REIQ) December quarter median unit and townhouse figures shows this segment paralleled the strong results of the housing market last year.

And according to the REIQ, in the present time of historically low housing affordability, units and townhouses also provide the perfect affordability buffer.

“When you look at the median unit and townhouse prices there are some very affordable properties still available which would suit first home buyers, couples or small families.

“And in a lot of cases, units and townhouses are located in areas that are closer to all mod cons and an easier commute to the city,” REIQ chairman Peter McGrath said.

“Units and townhouses really do provide the perfect buffer for affordability with prices much lower than the traditional house.” Over the December quarter, the number of unit and townhouse sales declined partly due to less investor interest in the market.

The current interest rate environment – as well as rising prices – has prompted many people to take a breather from investing in residential property. However as the year goes on, and yields improve, investors will re-enter the market.

REIQ December quarter unit and townhouse figures also show a slight decrease in prices in some regional areas, which can partly be attributed to varying quality of stock sold over the period.

The Real Estate Institute of Queensland Ltd Phone (07) 3249 7347 Fax (07) 3249 6211 www.reiq.com.au Nicola McDougall - REIQ Media Manager - 3249 7302 or 0405 801 979

Download the full reports: See the full report at http://www.piaa.asn.au/reports/Queenslands_Top_10_Performers And more at: http://www.piaa.asn.au/reports/Queensland_Unit_Price_Growth_Major_LGAs