Mackay prices now attractive to non-mining workers: HTW

Mackay prices now attractive to non-mining workers: HTW
Mackay prices now attractive to non-mining workers: HTW

The main industry driver of the Mackay residential market over the past ten years has been the resource sector located in the Bowen Basin and the large service industry located in Mackay, according to Herron Todd White.

The mining sector had a significant boom which peaked during 2012 and 2013.

Mackay had the highest median house value for regional coastal cities in Queensland and one of the lowest vacancy rates (under 1 percent).

But the valuation firm has noted since this time, there has been a significant reduction in the mining industry with large redundancies, mine closures and flow on effects.

"This has seen the Mackay residential market fall up to 30 percent since the peak and vacancy rates blow out to in excess of 8%," its latest report noted.

It is considered that without an increase in the coal price and announcement of large projects, the Mackay market will not see any appreciable increase in value.

However, with every downturn there are some silver linings.

"Mackay was always seen as a mining town with inflated prices and increased costs of living associated with the high wages generated in the mining industry.

"Since the downturn, it is now considered Mackay is an attractive proposition to non mining workers such as teachers, police officers, firemen and ambulance offices, who would have not considered Mackay previously."

Jonathan Chancellor

Jonathan Chancellor

Jonathan Chancellor is one of our authors. Jonathan has been writing about property since the early 1980s and is editor-at-large of Property Observer.

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Queensland Residential Market

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