The Gold Coast has seen a great surge in property sales since the start of 2016 – and it's no wonder, with the incredible lifestyle on offer in the region, not to mention the fabulous beaches and coastline.
Are house prices stabilising on the Gold Coast? The Property Council of Australia seems to think so, and data from the Australian Bureau of Statistics (ABS) backs that up nicely. That could be fantastic news for anyone looking at buying Gold Coast real estate, and there will be more and more affordable homes in a stable market as well.
We think you should be, whether you are an owner-occupier or an investor hoping to add to an existing portfolio or even start a new one. The Gold Coast is a great place to hold the title to your own patch of paradise – not only are the potential capital gains an incentive, but living close to so many perfect beaches and amazing shopping precincts is an attractive prospect.
The ABS' Residential Property Price Index from 22 March shows the average capital city growth for the 12 months leading up to December 2015 was 8.7 per cent. While Brisbane saw only 4.2 per cent growth over this same period, the more immediate results lie in the September quarter of last year. Brisbane equalled Melbourne's growth over this period, 1.6 per cent, and was behind only Canberra and Hobart.
In fact, Sydney saw a decrease in property prices for the first time in three years, with a 1.6 per cent drop. CoreLogic RP Data still suggests that the median house price in Australia's largest city is over $1million, however a decrease in the growth that investors have come to expect could change that.
Investors that are wanting to see some returns in the near future should not be looking at Sydney, a city which looks to have reached its peak already, but Queensland and the Gold Coast – regions that are growing at a stable rate.
Purchasing real estate is right at the top of the expenses pyramid, and unless you're in the market for a fleet of Rolls-Royce's, then it's unlikely that you're going to have a greater outlay in your lifetime. Property is also a very stable investment, more so at the moment than in recent times, as suggested by the Property Council, because it is not subject to the same market fluctuations as stocks and shares.
"House price growth continues to pull back – suggesting the delivery of new stock in the market and caps on investor lending are working," said the Property Council's chief of policy and housing Glenn Byres.
"Sydney – as the market with both our biggest affordability challenge, and the strongest surge in supply – has recorded negative growth for the first time in three years as the index fell 1.6 per cent in the December 2015 quarter. We are seeing benefits of policies that have increased housing supply across Australia."
Those policies include changes to investor lending and potential negative gearing differences coming into effect next year. The growth of the Sunshine State can be seen as a great encouragement to investors wanting to buy beautiful beachfront properties, and if this increase continues even a little into the remainder of 2016, Gold Coast property is likely to be snapped up quickly.
Do you feel the call of investing or living on the Gold Coast? Now is one of the best times to buy property on Australia's east coast, and the experts at Ray White Surfers Paradise can help to get you into the best home for your needs.