Lifestyle real estate in Queensland returns to popularity as confidence grows
With summer just around the corner, now is the time to begin preparing for those long, warm days ...
With summer just around the corner, now is the time to begin preparing for those long, warm days and endless nights at the beach. While many people begin working on their tan and picking out a new swimsuit, there are a number of investment opportunities for buying a property on the beachside in Queensland.
In a recent blog post, RP Data Research Director Tim Lawless indicated a returning strength to the lifestyle property market, signalling that coastal properties in the Gold and Sunshine Coasts are beginning to pick back up following a slump experienced during the Global Financial Crisis.
There has been a 60 per cent increase in the number of property transactions undertaken in the Gold Coast for houses since this time last year, with a 54 per cent increase in unit sales as well.
Similarly, the Sunshine Coast has experienced a 45 per cent growth for houses over the past year and a huge 60 per cent growth for units.
While these figures aren't as high as when they peaked in in 2007, the increases are a sign that both buyer and seller confidence is returning to the market and bringing with it a resurgence in lifestyle property sales.
Furthermore, the number of sales and increased buyer demand is also contributing to price growth for property in these areas. The Gold Coast median price for a house has risen by 3.2 per cent over the last year, while the Sunshine Coast saw homes increase by 1.3 per cent.
Units have yet to experience any major growths, with the price falling by 4.2 per cent in the Gold Coast. Mr Lawless highlights a number of reasons for this, including a "tainted" attitude within the public towards them due to the capital losses experienced following the Global Financial Crisis.
Another proposed reason for the slow uptake of units in these areas is to do with investment.
Because of the seasonal nature of holiday homes, rental yields and the cashflow received from these investments can be seen as less consistent in the long run, which could be counteractive to the goals of an investor.
However, regardless of whether buyers are owner occupiers or investors, now could be the perfect time to secure a great lifestyle property for the summer before the market becomes too hot.