Melbourne, Gold Coast, Newcastle apartments at market peak: HTW
Apartments in Melbourne, the Gold Coast, Newcastle and the NSW Central Coast are at the peak of the market in August according to the latest Herron Todd White's property clock for units - a simple broad brush means of indicating where property prices are.
Units in Newcastle, the NSW Central Coast and the Gold Coast were at market peak in July according to HTW.
HTW said there are a number of applications before Newcastle Council for multi storey unit developments (primarily residential in nature).
"The total number of units proposed within these applications is projected to yield approximately 2,800 in total of varying sizes and price points," HTW said.
"This projected supply will continue stimulating the local economy from a building perspective (assuming they all commence), however after this period there is the real possibility that there could be an oversupply. This scenario occurred recently with the last unit building boom of circa 2003 and 2004.
"The over supply of units at that time took a number of years to trickle through the market place. "
In relation to the Gold Coast, HTW said houses and duplexes are definitely still the most sought after however we have noticed a stabilisation of duplex values and consider that a large portion of the growth has already occurred.