Gold Coast houses in decline, but Sunshine Coast peaking: HTW

Gold Coast houses in decline, but Sunshine Coast peaking: HTW
Gold Coast houses in decline, but Sunshine Coast peaking: HTW

House values in the Gold Coast are declining, but the nearby houses Sunshine Coast are going in the opposite direction, according to valuation firm Herron Todd White.

The Sunshine Coast housing market is currently peaking, whereas the Gold Coast has been classed as a declining market.

Last month the Gold Coast housing market was in the starting to decline phase, where it had been since June 2018.

The Sunshine Coast housing market has continued its steady rise having been approaching the peak of the market since October 2017.

Before then it was a rising market. 

To enlarge the June National Property Clock: Houses, click here.

Gold Coast houses in decline, but Sunshine Coast peaking: HTW

 

"Most agents are reporting a softening in buyer enquiry [in the Central Gold Coast] and demand across the board throughout this locality, with all reporting some softening in value levels and longer sale periods often required to achieve a sale," the report noted.

"It is definitely a buyer’s market and they are more discerning with their choices and in no rush to sign up to buy.

"One leading agent has just this week reported a general drop of circa 10% for Bundall and Sorrento from the generally accepted top of the market in late 2017.

"This was evidenced in a top end sale where the purchasers had submitted an offer at $4.5 million less than eight months ago and have just gone to contract at $4.1 million on the same property.

Adelaide hoteliers Peter and Jenny Hurley were caught up in the Gold Coast house price decline.

Their Commodore Drive, Paradise Waters home (below) sold for $3.55 million, less than the $4 million they paid in 2003.

Gold Coast houses in decline, but Sunshine Coast peaking: HTW

They had been asking $4.75 million.

There was better news from the Sunshine Coast market.

While Herron Todd White reported the market has slowed, there are still sales.

"A significant number of agents have indicated that general enquiry has fallen which has effectively led to a lack of urgency in the market," the valuation firm said.

"On the back of this, stock levels have increased in some areas as well as the number of days on market.

'Whilst there has been a general softening in the market, there are still sales being made.

"Property that is well located with a good offering and is priced at the right level are selling. It’s just that instead of selling in the first week or two, it’s more like six to ten weeks - what would appear to be more like a normal market. 

"One thing that is certain is there are a lot more people around the coast. It used to be in holiday periods but now it seems to be all the time. This can’t be a bad thing to help support the market."

 

 

Joel Robinson

Joel Robinson

Joel Robinson is a property journalist based in Sydney. Joel has been writing about the residential real estate market for the last five years, specializing in market trends and the economics and finance behind buying and selling real estate.

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Gold Coast Herron Todd White

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