The lust for lifestyle is causing a buying frenzy that’s pushing up the price of beachside properties in Queensland.
The lust for lifestyle is causing a buying frenzy that’s pushing up the price of beachside properties in Queensland.

Rush to buy beachside before it’s too late

THE lust for lifestyle is causing a coastal buying frenzy forecast to drive up home prices in Queensland's seaside property markets.

New research from property portal Realestate.com.au has revealed the state's strongest coastal markets based on buyer demand and price growth, and it shows the days of the beachside bargain may be numbered.

Realestate.com.au executive manager of economic research Cameron Kusher said Queensland was seeing strong growth in buyer demand, particularly from NSW and Victoria, which would lead to the increasing popularity of its coastal markets over the coming year.

REA Group executive manager of economic research Cameron Kusher. Picture: Andrew Henshaw.
REA Group executive manager of economic research Cameron Kusher. Picture: Andrew Henshaw.

"What we are seeing currently is strong demand for coastal properties in the aftermath of the recession and because borrowing costs are currently at historic lows," Mr Kusher said.

The data shows the most sought-after coastal suburbs in Queensland are in the state's north.

Demand for houses in Forrest Beach, north of Townsville, increased a whopping 147 per cent in the past year, while inquiries for houses in Hay Point, near Mackay, have jumped 138 per cent in 12 months.

Forrest Beach is a coastal town north of Townsville in the Hinchinbrook Shire.
Forrest Beach is a coastal town north of Townsville in the Hinchinbrook Shire.

Airlie Beach has also become super popular, with demand from potential buyers increasing more than 80 per cent.

Mr Kusher said it was "a little surprising" to see that in regional Queensland demand growth tended to be stronger in the central and north of the state rather than in the southeast.

The Moreton Bay and bayside regions dominate the list when it comes to demand for houses in Greater Brisbane.

Inquiries for houses in the suburb of Toorbul, around 50km north of Brisbane's CBD, have jumped a staggering 72 per cent in the past year, while the nearby suburbs of Bongaree, Deception Bay and Margate have also seen growth of more than 30 per cent.

This two-bedroom cottage on 612 sqm overlooking Pumicestone Passage at 72 Esplanade, Toorbul, is for sale for just $555,000.
This two-bedroom cottage on 612 sqm overlooking Pumicestone Passage at 72 Esplanade, Toorbul, is for sale for just $555,000.

On Brisbane's bayside, Thorneside's popularity has jumped 62 per cent in 12 months, while nearby Wellington Point, Thornlands and Cleveland have all seen growth in demand of between 30 and 50 per cent in that time.

Freedom Property agent Leanne Bojarski said there was not enough stock to accommodate the demand for properties on the bayside.

Mrs Bojarski said properties with side access to house boats, trailers and caravans were particularly popular.

"I've sold to a lot of people coming from the city wanting 'the bayside dream' of having a bigger house, being near the water and not caring about the commute - just saying they want the lifestyle," Mrs Bojarski said.

"Some have got more savings than ever, and with not being able to travel, it's pushing people into just going for their dream right now.

"We've not seen it slow down yet and it's mid January. Still getting over 10 groups at open homes and multiple offers."

This five-bedroom property on 1390 sqm at 1 Jean St, Thorneside, is on the market for offers over $1.5m. Demand for houses on Brisbane’s bayside has jumped in the past year.
This five-bedroom property on 1390 sqm at 1 Jean St, Thorneside, is on the market for offers over $1.5m. Demand for houses on Brisbane’s bayside has jumped in the past year.

Mr Kusher said an increased demand for coastal properties, including from cashed-up city families who recently sold homes in expensive inner suburbs, was pushing up prices.

"There has been strong recent growth in prices and generally the price of coastal property is going up," he said.

"Buyers coming from city suburbs can spend a lot if they go to regional areas. For them, it's a better home for cheaper, but the prices they pay are higher than what locals would pay."

The Townsville suburb of North Ward has seen the highest annual median house price growth of any Queensland coastal suburb - more than 33 per cent.

Sarina and Armstrong Beach near Mackay have also seen strong house price growth of close to 30 per cent.

On the Sunshine Coast, Sunshine Beach house prices rose more than 33 per cent in the past year, while Shelly Beach and Moffat Beach also recorded annual house price growth well above the state average.

Sunshine Beach homes are in high demand and prices have risen significantly.
Sunshine Beach homes are in high demand and prices have risen significantly.

Sunshine Coast agent Jordan Lund, owner of Elite Lifestyle Properties, said there were a number of factors contributing to the popularity of Shelly Beach and the surrounding suburbs.

"One of the major reasons is the incredibly low levels of stock on the market right across the coast," Mr Lund said.

"Our figures show that compared to this time last year, there is about 30 per cent less stock on the market, which is obviously driving up prices - and leading to incredible growth in property values.

"While we have less stock, there has been a massive spike in interest from buyers locally, throughout the state and overseas.

"Recently, we had a property sell for $100,000 over the asking price - even before it officially went on the market. If this trend continues, it is going to be huge year for real estate on the Sunshine Coast."

The Sunshine Coast was the strongest housing market in the state in 2020, after recording a 25 per cent increase in its median house price over five years, according to the Real Estate Institute of Queensland.

REIQ Sunshine Coast zone chairman Matt Diesel said enquiry levels from Victoria, NSW and Brisbane remained strong as prospective buyers sought a lifestyle change.

"They realise they no longer need a traditional workplace, so they are looking further afield," he said.

The Sunshine Coast has a strengthening economy boosted by massive spending on new infrastructure as it transitions

Soon it will have an international airport and an international broadband link direct from Asia - and this is attracting new residents.

Prestige markets like Noosa Heads and Sunshine Beach are responding well to the demand,

not only from Sydney and Melbourne, but also from international buyers.

Mr Kusher said coastal living had become more sought-after during COVID-19 - especially on the fringes of capital cities and their surrounding regions.

"The pandemic has made people re-evaluate their lifestyle," Mr Kusher said.

"Being at home more, working from home three or four days a week, means people can look at areas they may have (previously) thought were too far out."

For some people, living near the beach represented the pinnacle of good living, Mr Kusher said.

"Aussies like to be near the water, it's just the way we are. Most of the country has great weather, you can be more active near the beach, so generally the coast is more popular than the countryside."

 

QLD'S BEACH SUBURBS WITH THE BIGGEST PRICE GROWTH FOR HOUSES

 

Suburb Year-On-Year Median Price Change %

 

1. North Ward 33.8%

2. Sunshine Beach 33.1%

3. Sarina 32.1%

4. Armstrong Beach 27.7%

5. Shelly Beach 27.6%

6. Moffat Beach 26.7%

7. Toorbul 26.1%

8. Forrest Beach 23.6%

9. Sunrise Beach 23.1%

10. Sandgate 22.9%

11. Booral 22.5%

12. Miami 22.1%

13. Woody Point 12.3%

14. Ormiston 11.1%

15. Wynnum 8.8%

16. Birkdale 7.6%

17. Cleveland 7.5%

18. Brighton 6.4%

19. Lota 6.3%

20. Bellara 5.1%

 

(Source: Realestate.com.au)

 

QLD'S BEACH SUBURBS WITH THE BIGGEST PRICE GROWTH FOR UNITS

 

Suburb Year-On-Year Median Price Change %

 

1. Banksia Beach 45.6%

2. North Mackay 41.9%

3. Belgian Gardens 37.8%

4. Beachmere 35.6%

5. Cairns City 23.6%

6. Holloways Beach 23.1%

7. Alexandra Headland 21.2%

8. Sunrise Beach 19.1%

9. Sunshine Beach 19.0%

10. Hollywell 18.4%

11. Yeppoon 16.7%

12. Mount Coolum 16.3%

13. Cleveland 14.0%

14. Bellara 13.3%

15. Margate 11.9%

16. Bongaree 10.5%

17. Scarborough 7.0%

18. Woorim 5.0%

19. Wynnum 4.9%

20. Victoria Point 4.5%

 

(Source: Realestate.com.au)

 

QLD'S MOST IN-DEMAND BEACH SUBURBS FOR HOUSES

 

Suburb Year-On-Year Increase in Demand %

 

 

1. Forrest Beach 147.1%

2. Hay Point 138.4%

3. Kinka Beach 95.9%

4. Mudjimba 86.8%

5. Jubilee Pocket 85.2%

6. Airlie Beach 83.2%

7. Boyne Island 81.4%

8. Bakers Creek 81.2%

9. Wonga Beach 80.6%

10. Tugun 80.3%

11. Toorbul 72.4%

12. Thorneside 62.0%

13. Newport 50.9%

14. Wellington Point 39.8%

15. Bongaree 37.7%

16. Deception Bay 37.3%

17. Thornlands 31.0%

18. Cleveland 30.6%

19. Margate 30.5%

20. Redland Bay 30.5%

 

(Source: Realestate.com.au)

 

QLD'S MOST IN-DEMAND BEACH SUBURBS FOR UNITS

 

Suburb Year-On-Year Increase in Demand %

 

1. Thornlands 218.1%

2. Pimpama 128.0%

3. Warana 122.6%

4. Kewarra Beach 92.4%

5. Bowen 91.3%

6. West Mackay 89.3%

7. Tin Can Bay 87.0%

8. Woorim 86.7%

9. Peregian Beach 84.8%

10. Scarborough 83.9%

11. Coomera 83.3%

12. Airlie Beach 83.1%

13. Scarness 81.6%

14. Beachmere 74.0%

15. Ormiston 63.9%

16. Birkdale 61.2%

17. Redland Bay 55.0%

18. Cleveland 52.8%

19. Sandstone Point 52.8%

20. Victoria Point 46.1%

 

(Source: Realestate.com.au)

Originally published as Rush to buy beachside before it's too late



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