MUDGEERABA is one of Queensland's best performing property markets according to a PRDnationwide report.

The quarterly sales overview shows its median house price is only $467,500 and dropping by 6% annually.

But its first half-year house sales have improved by 19% or 16 sales since June 2010.

PRDnationwide research director Aaron Maskrey said Mudgeeraba was an exception as 17 of the 20 worst performing suburbs were in south-east Queensland.

"The largest softenings throughout the first half of 2011 were achieved in The Gap, Buderim and Forest Lake," Mr Maskrey said.

"Notably, only three suburbs in the top 20 to experience declining sales have recorded a median sale price above $500,000."

"Despite interest rates remaining on hold since November 2010, it appears that confidence was sapped in the south-east Queensland property market."

As a local point of difference Elanora is one of the state's worst performing suburbs with sales almost halving from 99 to 54 and a median price of $497,579 dropping 8% annually.

Mr Maskrey said most top 20 performing suburbs were located in mining regions.

"These regions have attracted new residents which require accommodation in a market that has a distinct undersupply.

"This would appear to be the opposite for south-east Queensland as tradesmen have fled the Gold Coast over 2010.

"(As) a direct result of the construction industry winding down on the Coast," Mr Maskrey said.

Mudgeeraba and Clear Island Waters were the only Coast suburbs in the report's top 20 while Brisbane's Gordon Park and Wynnum were the only other two south-east areas.