Business & Investment

Is the local real estate boom over?No way, the local agent says

House prices in the Queensland region have risen 8% over the past year, but growth may have slowed, according to a new report.

The REA Insights Home Price Index shows that home prices in the Queensland region rose 1% in the previous quarter, but only 0.1% last month.

But after a great year of performance by the region, Cairns, Central Queensland, Mackay-Issac-Whitsunday, and the Sunshine Coast, in a proposal to shift the population from major cities.

The top performers of the year, quarter and month were the Sunshine Coast, with housing value rising 0.13 percent monthly and 9.04 percent annually.

Cairns, which had the smallest overall rise in home prices in 2020, recorded a 0.27% rise in home prices last month, while the Mackay-Issac-Whitsunday region recorded a 0.28% rise.

Aerial panoramic view of Cairns City and the suburbs.Photo: Brendan Radke

“National house prices rose 0.4% in February 2021 and continued to rise, but at a slower pace,” the REA report said.

House prices in Townsville rose 4.92 percent annually, but fell 0.43 percent quarterly and 0.23 percent last month, according to REA.

“Townsville is interesting,” said Cameron Kuscher, Executive Manager of Economic Research at REA. “That value rose 4.92% (over the year), but not as strong as in some other regions.”

Cameron Kuscher, Director of Economic Research, REA Group

Kusher said the data suggest that growth in the area outside the southeastern corner is driven primarily by locals upgrading or buying a second home.

But he said Townsville is seeing “some good growth” in each suburb.

“It could be due to the type of product (dwelling) being sold and the strong home market,” he said.

“I think a lot of people who were trying to move to the area did that, and now that the capital has been opened, vaccines have been deployed, and some have returned to the office, its growth (in the area)). It may slow down. “

Living magazine cover and images

View from Castle Hill in Townsville.Photo: Evan Morgan

More localized data show that 14 townsville suburbs have recorded double-digit price increases over the past year.

Belgian Gardens led this rate with 58.6% growth. This was followed by Meisterton (31.1 percent), Northward (27.3 percent), Castle Hill (23.1 percent) and Jensen (22.8 percent).

Although less data is available this quarter, both Railway Estate and Kelso recorded growth of 18.9% and 3.3%, respectively.

Is the local real estate boom over?No way, the local agent says Is the local real estate boom over?No way, the local agent says

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