The market for housing in Hervey Bay experienced earlier periods of increased demand during Queensland's 2001-03 property boom, however the volume of half yearly sales has begun to trend upward once again. These increased levels of demand coincided with a considerable volume of price growth over the past five years, with house prices in this area having increased by an average 18.7% per annum during this period.

Looking at the house sales cycle to the right, while the strongest rates of median price growth occurred during the abovementioned 2001-03 boom period, persistent levels of price growth have resulted in a record high median house price of $301,282 during the recent Jun-07 half year. This equates to an increase of some $11,532 or 4% over this period last year, which resulted from an increase in houses sold for between $200,000 and $400,000 in the past twelve months, in conjunction with a decline in the availability of houses for less than $200,000. This record median was derived from 886 separate dwelling transactions during the Jun-07 half year, which equates to an increase in the demand for an additional 182 houses over this time last year.

With a record high median house price approximating $300,000 furthermore, the lure of coastal living at an affordable entry price has represented a key driver of property demand in this region."

Download: HerveyBayOverview-PropertyWatch-Dec07.pdf