Queensland top-growth suburbs deliver double-digit growth
Almost 70 Queensland suburbs delivered double-digit growth over 12 months to June, according to the latest REIQ research from the Queensland Market Monitor report.
REIQ CEO Antonia Mercorella says while many headlines predicted doom and gloom for the property market, the reality was very different with many markets in Queensland performing exceptionally well.
“A total of 68 suburbs throughout Queensland have delivered double-digit growth over 12 months, which is a really strong result,” she says.
“And there are m any more suburbs delivering strong single-digit growth. It’s a great market to be in at the moment.”
The suburbs delivering good growth are not all focused in the southeast corner, with a liberal sprinkling of suburbs throughout central and northern Queensland.
“The top area delivering the strongest growth has been Blackwater, with 151 per cent growth,” says Mercorella.
“This is a result of the resurgence in coal prices and the low base starting point.”
11 suburbs reached an annual price growth of more than 20 per cent. These suburbs were Blackwater, Spring Mountain (Ipswich), Collinsville, Minyama (Sunshine Coast), Hamilton, Hollywell (Gold Coast), Miles, Mount Coolum, Dundowran Beach (Fraser Coast), Boonah (Scenic Rim) and Idalia (Townsville).
“This spread of suburbs is a good indication that Queensland real estate is delivering steady sustainable growth across the board,” says Mercorella.
“We’re seeing growth outside the southeast corner.”
But Mercorella cautions against celebrating another ‘boom’.
“While we’re definitely seeing prices come back in western Queensland mining towns, such as Blackwater, these prices are still below their peak,” she says.
“It’s unlikely we’ll see a return to pre-2013 prices in those areas anytime soon.”
Top performers in the southeast corner
A total of 41 suburbs in the southeast corner dominated the list of top performers for capital growth in Queensland, comprising about 60 per cent of all 68 suburbs included on the list.
A total of 15 suburbs located in the Sunshine Coast Statistical Division (including Sunshine Coast LGA and Noosa Shire) were included on the list of top performers. Houses in Minyama, located in the Kawana Waters urban centre, achieved the largest capital growth in the region of 45.8 per cent, ranking as the fourth strongest performer in Queensland. Minyama is a very exclusive suburb in the Sunshine Coast LGA, surrounded by water and offering one of the most popular marinas in the southeast corner.
A total of 13 suburbs in Brisbane LGA made the list of top performers for the past year. Hamilton was the fifth strongest performer in Queensland and the best performer in Brisbane LGA. House prices in Hamilton increased 32.9 per cent for the past year, to $1,442,000. Hamilton was also the most expensive suburb included on the list of Queensland top performers.
Other suburbs in Brisbane LGA reaching a capital growth for houses of 10 per cent or higher were Sandgate, Paddington, Mount Ommaney, Sunnybank, Graceville, Hendra, Shorncliffe, Seven Hills, Nundah, Kedron, Bulimba and Auchenflower.
Ipswich had six suburbs on the list, the Gold Coast had four and Moreton Bay had three. Redland and Logan had no suburbs on the list.
Hollywell in the Gold Coast is listed as the sixth performer in Queensland, with houses reaching a capital growth of 30.5 per cent for the past year. Hollywell offers waterfront lifestyle with a price range of $810,000 well below the $1 million club, making Hollywell an affordable waterfront suburb.
Top Performers in Regional Queensland
This analysis identified 27 suburbs outside the southeast corner reporting a double-digit capital growth in house prices for the past 12 months.
Townsville dominated the list in regional Queensland, with four suburbs reaching double-digit house price growth. Idalia in Townsville ranks 11th on the state list and first on the Townsville LGA list. Idalia is a rapidly expanding suburb, located 10 minutes to the CBD, offering access to shopping centres, restaurants and beautiful landscaping around parks, lakes and the Ross River.
Cairns and Gympie had three suburbs on the list of top performers. Palm Cove was the best performer in Cairns, ranking 26th within the Queensland tally. House prices in Palm Cove increased 14.3 per cent, to $606,000 in June 2018.
Cooloola Cove in Gympie ranked 42th on the list as house prices increased 12 per cent for the past year, to $317,500 in June 2018. This suburb offers affordable and coastal living options.
The Whitsundays only reported Collinsville on the list, which is ranked third throughout the state. Collinsville is a mining town, reporting an annual capital growth for houses of 46.2 per cent, to $95,000 in June 2018.
Other regions reporting at least one suburb on the list were Bundaberg, Toowoomba, Banana, Charters Towers, Fraser Coast, Gladstone, Isaac, Livingstone, Mackay, Rocky, Scenic Rim, Somerset and Western Downs.
Price Range for Top Performing Suburbs
Two different price ranges are dominant on the list of top performing suburbs. The very affordable bracket with a price range below $350,000 and the price bracket above $500,000 and below $750,000. The latest generally appeals to family lifestyle.
18 top-performing suburbs reported a median house price range below $350,000. Most of these suburbs are located in regional Queensland.
Similarly, 18 top performers reported an annual median house price range between $500,000 and $749,999. 13 of these suburbs are located in the southeast corner.
Only eight top performing suburbs reported an annual median price range above $1 million. All these suburbs are located in Brisbane, Noosa or the Sunshine Coast LGA.
This analysis identifies the Queensland suburbs achieving a double digit annual house price growth for the 12 months to June 2018. Houses located on blocks with an area above 2400m2 were taken out of the analysis. And, only suburbs with a volume of annual sales above 20 for the past year were included in the analysis.