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Queensland’s million dollar club booming as home values surge

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Queensland’s million dollar club booming as home values surge

Robert Evans outside his investment property in Hendra that is for sale.Source:News Limited

MORE Queensland homeowners are now millionaires, with new research revealing a near 50 per cent jump in the number of million dollar suburbs in the past decade.

By the end of 2017, the state had 38 suburbs with a median home value of $1 million or higher — 15 more than the year before, according to property research firm, CoreLogic.

While traditional blue-chip pockets such as Ascot, Hamilton and New Farm have stood the test of time — making the million dollar club every year since 2007 — it’s the new kids on the block that may come as a surprise.

The little known Queensland suburbs of Willawong, Mount Samson and Kalinga have all cracked the million-dollar value ceiling in the past year.

And for the first time, Wilston, West End, Paddington, Hendra, Highgate Hill, Ashgrove and Auchenflower have burst through the $1 million median home value barrier.

Median home values in Paddington are now more than $1 million, according to CoreLogic.

Median home values in Paddington are now more than $1 million, according to CoreLogic.Source:News Limited

Median home values in West End and Highgate Hill are now more than $1 million.

Median home values in West End and Highgate Hill are now more than $1 million.Source:News Limited

On the Gold Coast, Surfers Paradise has made the million dollar club nine out of the past 10 years, while Bundall is a newcomer.

Further north on the Sunshine Coast, Shelly Beach in Caloundra made the list for the first time ever in 2017, joining the usual suspects of Noosa Heads and Sunshine Beach.

 

Noosa on the Sunshine Coast has long been a member of the million dollar club.

Noosa on the Sunshine Coast has long been a member of the million dollar club.Source:Getty Images

In the state’s north, Castle Hill in Townsville is the only suburb to achieve million-dollar status, while in central Queensland, the holiday resort town of 1770 has made the list several times over the past decade.

Even the Logan suburb of Park Ridge joined the club briefly for a year in 2010.

The number of suburbs in Queensland with a median home value of $1 million or more grew by 48 per cent in the past ten years.

CoreLogic research analyst Cameron Kusher said he expected that growth to continue in 2018, although perhaps not at the same rate as in the past 12 months.

“What we’re seeing in southeast Queensland at the moment is migration is picking up,” Mr Kusher said.

“I think Queensland might see more million dollar suburbs over the next 12 to 24 months as that level of migration continues to picks up.

“But I wouldn’t be surprised if the jump (in values) is not as substantial in 2018 as it was in 2017.”

Mr Kusher said it would only be a matter of time before home values in more of Brisbane’s inner ring suburbs pushed through the $1 million barrier, as well as more suburbs on the Gold and Sunshine Coasts.

“That inner ring has been quite strong for houses over the past 12 months or so and clearly lack of supply in the detached housing market and strong demand is pushing up values, which is what you’d expect,” he said.

Robert Evans saw the potential in the north Brisbane suburb of Hendra a few years ago when he bought a block of land and built a four-bedroom, two-bathroom house at 18 Harding Street.

This house at 18 Harding Street, Hendra, is for sale. Picture: realestate.com.au.

This house at 18 Harding Street, Hendra, is for sale. Picture: realestate.com.au.Source:Supplied

This house at 18 Harding Street, Hendra, is for sale. Picture: realestate.com.au.

This house at 18 Harding Street, Hendra, is for sale. Picture: realestate.com.au.Source:Supplied

Mr Evans has used the architecturally designed home as an investment property and enjoyed healthy rental returns, but is taking it to auction later this month.

“There’s no other house like it in Hendra,” Mr Evans said.

Hendra is only 6km from Brisbane’s CBD and the median house value in the suburb is now$1.00784 million.

“It’s a good area, it’s quiet, close to the airport and offers good yields,” Mr Evans said.

“That’s why we built there.”

Marketing agent Leigh Kortlang of Ray White Ascot has been selling real estate in Hendra for nearly 15 years and has seen home values rise considerably in that time.

“When I moved to Hendra 18 years ago, people said ‘what are you doing crossing the train tracks’,” she said.

“People started moving in to the area because it was a bit cheaper than surrounding suburbs (like Ascot, Hamilton and Clayfield), but now it’s on everyone’s shopping list because they actually want to live in Hendra.”

Ms Kortlang said the suburb was considered “a bit more laid-back”, with quiet, wide streets lined with Poinsiana trees and bigger blocks of land.

Between 2012 and 2017 — when the Sydney and Melbourne housing markets entered an upswing — the number of $1 million suburbs nationally increased by a whopping 243 per cent.

And by the end of last year, almost 1000 suburbs across the country hit the million dollar median value mark.

But Mr Kusher said he did not expect the surge in home values in Sydney and Melbourne to continue this year.

“With the national housing market slowing over the final quarter of 2017, we may actually see fewer suburbs with a million dollar price tag at the end of 2018,” Mr Kusher said.

“In fact, the current data points to the fact that the housing slowdown, particularly in Sydney and Melbourne, is being led by the higher value end of the market.

“As a result, this may lead to a number of $1 million suburbs slipping out of the list in the two largest housing markets over the coming year.”

QUEENSLAND’S NEW MILLION DOLLAR CLUB

Suburb House/unit Median value

Ascot House $1,639,995

Ashgrove House $1,009,882

Auchenflower House $1,106,010

Broadbeach Waters House $1,134,991

Brookfield House $1,022,382

Bulimba House $1,199,385

Bundall House $1,070,066

Burbank House $1,113,467

Castaways Beach House $1,057,405

Castaways Beach Unit $1,241,197

Chandler House $1,336,866

Chelmer House $1,183,319

Clayfield House $1,140,050

Clear Island Waters House $1,151,038

Fig Tree Pocket House $1,028,710

Fortitude Valley House $1,018,262

Hamilton House $1,417,327

Hawthorne House $1,196,229

Hendra House $1,007,840

Highgate Hill House $1,062,097

Kalinga House $1,133,852

Main Beach House $1,674,362

Mermaid Beach House $1,399,733

Minyama House $1,057,460

Mount Samson House $1,038,904

New Farm House $1,407,876

Noosa Heads House $1,004,007

Paddington House $1,077,237

Pullenvale House $1,088,506

Shelly Beach House $1,002,906

St Lucia House $1,197,301

Sunshine Beach House $1,363,637

Surfers Paradise House $1,332,778

Teneriffe House $1,589,892

Tennyson Unit $1,104,751

West End House $1,002,369

Willawong House $1,224,624

Wilston House $1,064,768

(Source: CoreLogic, data current to end of 2017)

Originally published: brisbaneinvestor.com.au

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The southeast Queensland suburbs where vendors are discounting their sale prices

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The southeast Queensland suburbs where vendors are discounting their sale prices

The southeast Queensland suburbs where vendors are discounting their sale price by the largest percentages have been revealed.

New data analysis by Domain looked at the average rate of vendor discounting on properties in suburbs throughout Brisbane, the Gold Coast and the Sunshine Coast over the six months to March this year and found some areas were discounting by as much as 12 per cent.

Houses at Carindale, Clontarf, Redcliffe and Rochedale South topped out the list of Greater Brisbane suburbs with the highest percentage of vendors discounting their asking price, while Chermside, New Farm, Redcliffe and South Brisbane had the highest rate of discounting for units.

On the Gold Coast, houses at Broadbeach Waters and Hope Island both recorded double-digit average vendor discounting, while units at Main Beach and Southport had the highest rate of discounting.

The southeast Queensland suburbs where vendors are discounting their sale prices 2

Maroochydore and Tewantin headed up the Sunshine Coast houses that were being the discounted by the highest percentage.

Domain economist Trent Wiltshire said the rate of discounting was another market indicator that could help assess conditions in certain suburbs.

The data was compiled using a minimum of 30 observations and did not include properties that sold via auction or without a listed price.

“This can be a bit more timely than price data,” he said. “But it is only an average figure and, while the average or median is the simplest way to look at a suburb, it doesn’t tell the full story.”

Will Torres of Torres Property said overall the housing market in Carindale was performing well but that the average discounting rate was likely brought down by a specific price point.

The southeast Queensland suburbs where vendors are discounting their sale prices 1

Carindale’s median house price is $879,750, a rise of 1.1 per cent over the year to March.

“I’d say the market that is being affected at the moment is that mid-$1 million price range,” he said.

“Rewind to six months ago I was selling houses in this price range in three weeks — now I’m struggling to get numbers in the door. That’s where the discounting will be, around that $1.5 million range and that’s why the Carindale percentage is that high.

“Anything under that price point is still performing really well and selling well. Days on market have stretched but the buyers and the demand is overall still there.”

Broadbeach Waters recorded the highest rate of vendor discounting, by up to 12 per cent. Jordan Williams of JW Prestige said that figure had likely been increased by houses in the $2 million to $3 million range, which were sometimes overpriced.

“If you’re 10 per cent over the odds you won’t get a result, you won’t get a deal — that’s why you’re seeing that average discount for Broadbeach Waters,” he said.

The southeast Queensland suburbs where vendors are discounting their sale prices 3

“So this figure doesn’t mean the market has dropped here, it means some properties were overpriced. I sold a house for $4.5 million where the owners originally were asking $4.7 million. That’s a massive discount.

“But it started out that high because the owners said they wanted to give it a go, test the waters. There’s a million different scenarios for why people discount their properties.”

At Hope Island, where the average vendor discount is 10.3 per cent, agent Warren Hickey is selling a four-bedroom, two-bathroom contemporary home on Virginia Avenue, which is listed for offers over $995,000 and advertised as a huge price reduction.

However, he said the listing was not representative of the local market.

“On average we’d sell a property a week in Hope Island. I would say if you look back at everything we’ve sold in the past few years, we’ve probably only advertised one as having a price reduction and this is it. It’s the exception,” he said.

On the Sunshine Coast, where Maroochydore recorded an average discount on houses of 7.5 per cent, local Century 21 agent Damien Said said a lot of the properties in higher demand were now auctioned.

The southeast Queensland suburbs where vendors are discounting their sale prices 4

“That needs to be noted — those properties are automatically excluded from the data,” he said.

“If anyone in Maroochydore is discounting, I’d say it’s more of a reflection of a few properties that came on the market with unrealistic expectations.

“Generally, we’re finding that when properties do come on the market, as long as the price is realistic, our days on market are reducing. The coast market is still quite active.”

Source: brisbaneinvestor.com.au

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The booming property hotspots which have defied the housing downturn – and it’s good news for homeowners living in Queensland

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The booming property hotspots which have defied the housing downturn - and it's good news for homeowners living in Queensland

Coastal and regional hotspots are bucking the housing market downturn with property prices at record highs. 

As the market in Sydney and Melbourne continues to weaken, it’s a different story in regions such as Hobart, Canberra and Queensland’s Gold and Sunshine coasts.

The regions dominate in the 11 suburbs across Australia identified as the most resilient areas, according to CoreLogic data.

New figures released this month revealed national housing values have plummeted 7.2 per cent, the largest annual fall since the 12 months ending February 2009 during the global financial crisis.

But Core Logic head of research Tim Lawless says homeowners in weak markets are unlocking significant equity, helping to boost prices in coastal areas.

‘Baby boomers are retiring, having gone through a number of property cycles and have the equity to fund a lifestyle purchase,’ he told The Australian.

‘The money goes further in these markets than in Sydney and Melbourne.’

So, where are Australia’s most resilient areas? 

The Sunshine Coast, Queensland

The latest figures are good news for those looking to sell on Queensland’s Sunshine Coast.

The median housing price in Sunshine Beach have soared 5.3 per cent in the last 12 months to almost $1.16million and up 26.6 per cent in the last five years.

The suburb was followed closely by Noosa Heads ($1.11 million) with a 2.9 per cent rise, where prices have jumped 29.5 per cent in five years.

In nearby Diddillibah-Rosemount, prices have jumped 16 per cent in the last five years to $747,812, 1.8 per cent rise in the last 12 months.

Renowned as a popular tourist mecca and for its laidback lifestyle, the Sunshine Coast is a growing region which attracts more than 3.2 million visitors a year and is Queensland’s third most populated area.

Further south of the Sunshine Coast, the median price in the Brisbane suburb of Windsor rose by 6.04 per cent to $902,000 while on the Gold Coast, the coastal suburb of Palm Beach now stands at $872,400, up 2.8 per cent and 42.8 per cent over five years.

The booming property hotspots which have defied the housing downturn - and it's good news for homeowners living in Queensland 1

Canberra 

Many parts of the nation’s capital are also bucking the downturn trend, according to CoreLogic.

Experts have hailed Canberra the strongest real estate economy out of all of the capital cities.

The median price in Garran has skyrocketed by 10.7 per cent to just over $1million in the last 12 months and 41.9 per cent over five years.

There were even higher rises in Lyons (14.1 per cent to $769,518) and Cook (17.4 per cent to $749,743).

A town not far from Canberra that also made the list was Yass in the NSW southern tablelands, where the median property price jumped by 4.8 per cent to $760,000, where prices have soared by a third within five years.

The booming property hotspots which have defied the housing downturn - and it's good news for homeowners living in Queensland 2

Hobart, Tasmania and West Beach, South Australia

2018 was a record year for real estate sales in the Apple Aisle, known for its relaxed lifestyle, affordability and cooler climate.

There were 11,400 property transactions worth a record $4 billion last year, according to Real Estate Institute of Tasmania data.

In Hobart, the average property price has risen 6.5 per cent to $809,300, a 39.3 per cent within five years.

Also in Australia’s southern states bucking the trend is Adelaide seaside suburb of West Beach, where the average price is now over $800,000 after a 4.4 per cent rise and 27.3 per cent change over five years. 

The booming property hotspots which have defied the housing downturn - and it's good news for homeowners living in Queensland 3

At the other end of the scale, 17 of the 20 biggest price drops for the year were in Sydney’s mid-priced suburbs such as Epping, where prices have plummeted by almost a third in the last 12 months, The Australian reported.

Mr Lawless said there are signs that the worst of the housing market conditions are now over.

‘Values are still broadly declining, however the pace of decline has moderated since December last year and there are some tentative signs that credit flows have improved, albeit from a low base,’ he said earlier this month.

‘The prospect for lower interest rates is another factor that could support an improvement in housing market activity later this year.’

The booming property hotspots which have defied the housing downturn - and it's good news for homeowners living in Queensland 4

Source: www.dailymail.co.uk

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Hot property: Dated dress circle Noosa home sells at auction

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Hot property Dated dress circle Noosa home sells at auction

A WATERFRONT home in need of an upgrade in one of Noosa’s most prestigious streets has sold under-the-hammer for $5.67m.

A WATERFRONT home in need of an upgrade in one of Noosa’s most prestigious streets has sold under-the-hammer for $5.67 million, with agents claiming the coastal hot spot is proving immune to the pre-election uncertainty plaguing the property market.

The four-bedroom house at 49 Witta Circle was sold at auction after a bidding war between four parties.

Hot property Dated dress circle Noosa home sells at auction 3

The result shows the Noosa prestige market is “rock solid”, according to marketing agent Eric Seetoo of Tom Offermann Real Estate.


“The … home was an oldie, but it occupies one of the most desirable locations on the waterfront near Hastings Street,” Mr Seetoo said.

Hot property Dated dress circle Noosa home sells at auction 1

“We found four bidders, three of whom were present, and another was on the phone from overseas, each with well over $5 million to spend.

“As you can imagine, I am busy finding properties for the underbidders.”

Hot property Dated dress circle Noosa home sells at auction 4

Agency principal Tom Offermann said he believed it was the highest Queensland house sale under-the-hammer so far in 2019.

“Witta Circle is one of those ‘can’t go wrong locations’,” Mr Offermann said.

Hot property Dated dress circle Noosa home sells at auction 5

“It’s on the water, picturesque, and an easy walk from Hastings Street and the beach.

“The capital growth has been over 15 per cent on average for the past 40 years — hard to beat.”

Hot property Dated dress circle Noosa home sells at auction 6

Mr Offermann said he was still finding demand strong, especially at the luxury end, where there was a critical shortage of stock.

Tom Offermann Real Estate recently sold a waterfront house at 55 Wyuna Drive, Noosaville, for $4.75 million and 27 Mossman Ct, Noosa Heads, for $5.75 million.

And an apartment in the La Mer complex on Hastings Street changed hands last month for a whopping $6.1 million.

Hot property Dated dress circle Noosa home sells at auction 1 7

“Property markets usually slow down during an election, but not this time in Noosa,” he said.

“The traditional slowdown isn’t apparent this time, with most clients adopting a wait and see attitude.

“Some are even predicting a post election rush into investment property before any negative gearing or capital gains tax changes are introduced.”

Adrian Reed of Reed & Co has just listed a five-bedroom, five-bathroom mansion at 54 Noosa Parade with a price guide in the late $7 million to early $8 million range.

Given the property’s location, river views and proximity to Hastings Street, Mr Reed is expecting it to be one of the most significant sales of the year.

Hot property Dated dress circle Noosa home sells at auction 2

Originally published as Dated Noosa home fetches big $

Source: www.news.com.au

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