Hints of optimism for Mackay residential property market: HTW

There are signs the worst may be behind the Mackay residential market with indications prices may be stabilising, according to HTW’s February 2017 update.

The valuation firm says there was an increase in sales volumes throughout the back end of 2016, rental vacancies fell throughout the year and a general sense of optimism returned to the Mackay economy.

Prices for metallurgical coal rose in late 2016, the mining sector started to show signs of strengthening and Adani’s Carmichael Coal project is getting closer to construction.

Other infrastructure projects in and around Mackay include the Mackay Ring Road Project, Eton Range Bypass and Vines Creek Bridge with construction commencing this year.

Other small projects include a new fire station in Mackay city and upgrades to the Mackay showgrounds.

HTW says all of these and other smaller projects will increase employment opportunities and benefit the entire Mackay economy.

However, the firm cautions that the Mackay residential market isn’t expected to show any real signs of improvement in terms of value in the first half of 2017.

“We think there will be a consolidation of values during this time and that sales volumes will continue to be strong in early 2017,” the report says.

“The key to any movement in values will be buyer sentiment.

“There has been negative buyer sentiment in Mackay over the past few years.

“We have seen this sentiment start to change during the last half of 2016, leading to higher sales volumes across the residential market, albeit at value levels not seen in Mackay in over 10 years.

“This is seen as a possible predictor that the market has reached the bottom.”

A three bedroom house at 18 Keats Street, Mackay (above) has been listed for over $249,000.

Similarly a two bedroom unit at 6/331 Shakespeare Street, Mackay (below) has been listed for $149,000.