A split is emerging in the Queensland market with a majority of the state seeing conditions improve while mining towns spiral downwards, data from the REIQ shows.
“South east Queensland, including Toowoomba and the state’s coastal tourism centres, continues to show strengthening market conditions, while the residential property markets in regional mining centres of Gladstone and Mackay have recorded easing conditions,” Real Estate Institute of Queensland (REIQ) president Anton Kardash said.
In Greater Brisbane, sales volumes remained stable in the March quarter but activity shifted towards the outer regions.
As a result of this surge in the lower end of the market, the median price dropped by 1.1 per cent.
Activity was strongest in the Moreton Bay region, which increased by seven per cent, followed by Ipswich and Redland at six per cent.
Mr Kardash said confidence had also returned to popular holiday destinations over the March quarter.
“The state’s tourism centres continue to perform strongly, with all four regions – Gold Coast, Sunshine Coast, Fraser Coast and Cairns – posting solid growth in their median house prices,” Mr Kardash said.
“On the Sunshine Coast preliminary sales numbers were up four per cent over the quarter, while over the year to March, the Gold Coast was the star performer with an increase of over 20 per cent.”
Elsewhere in the state, while activity in Toowoomba stalled over the quarter, over the year to March, sales were up 18 per cent.
Similarly, Cairns has seen a 15 per cent increase in sales over the year, with interest in the unit sector growing most quickly.
“Unit sales were also strong in the tourism centres, with the Cairns unit and townhouse market recording solid buyer activity in the $250,000 to $350,000 price bracket, contributing to an increase of 15.5 per cent in the region’s median unit sale price, to $212,000," Mr Kardash said.
However, mining centres have recorded subdued conditions.
In both Gladstone and Rockhampton, sales activity is down by more than 10 per cent over the quarter.