Huge demand and low supply are seeing winners and losers in the property market, with the Gold Coast region still proving an enviable, competitive market that so many people want to call home.
Locals and expats, even interstate buyers are ready, willing and able to get their hands on a little slice of Gold Coast paradise. We’re sure you know why (i.e. a lifestyle like no other), but we’re here to help you understand the conditions which make it all happen.
What’s changed? What’s stayed the same and what are the property predictions moving forward? Read more from the property accounting specialists at Crest Accountants to find out.
Expats return to Gold Coast and join the property market
The time for travel and immersing ourselves in international cities and cultures is temporarily, but indefinitely on hold.
What does this mean? It means plenty of expats are returning to Australia (via hotel or at home quarantine of course), and willing and ready to put their money into safe investments.
Ray White has suggested that many are seeing the Australian property market as safe, despite all the other uncertainties that present themselves from the COVID-19 pandemic, with consumer confidence at an all-time high.
After all, there’s no place like home, right?
Here’s what you need to know:
- Throughout Brisbane, we’re seeing young buyers eager to take advantage of affordable housing (and low interest rates) to get into their first home or purchase their second property. However, many buyers are telling real estate agents that quality property is low.
- On the Gold Coast, John McGrath of McGrath Estate Agents believes Australia’s reputation as a safe haven (particularly that of the Gold Coast), was having “an immense impact on the market.”
So, it seems expats and local folk are both keen to enter the property market for the first time, upgrade or add to their investment portfolio.
Whatever your property goals, from saving for a deposit, escaping the rental trap or adding to your property portfolio, you will benefit from specialist property accounting advice and services.
Interesting property search results
It’s expected expats and offshore buyers will push the Queensland, and especially Gold Coast property markets into new heights in 2021.
According to realestate.com.au, people from Hong Kong, United States and the UK are increasing their searches. The Gold Coast region was the most popular international search for NZ, US and UK dwellers.
Here’s what was discovered:
- According to realestate.com.au chief economic, Nerida Consibee: “New Zealanders love the Gold Coast. There’s already a big community (of New Zealanders) there, plus there are more jobs available, beautiful beaches and it’s relatively affordable compared to somewhere like Sydney.”
- Surfers Paradise was the second most popular search for these sea-changers,
- Burleigh Heads was the third,
- Broadbeach the fifth
- Hope Island the eighth,
- Southport the ninth most popular property search by international property seekers.
As of February 2021, local and interstate buyers still have better opportunities and chances to secure properties than their international sea-change dreamers and investors.
However, it’s still interesting to see what may happen when the pandemic is controlled, and international travel restrictions are lifted. Watch this space…
Michael Kollosche, of Kollosche real estate agency, stated expats were driving “phenomenal” demand for real estate on the Gold Coast – especially the auction market. Many properties aren’t even making it to auction day as pre-auction sales are up by as much as 30%.
There has been a large increase in the number of expats (and locals) snapping up luxury properties, because of the desire for lifestyle opportunities. “[Buyers] know that if they don’t purchase beachfront properties now, they may not be able to do so down the track because of the way the market is growing and prices are increasing,” – Jordan Lund of Elite Lifestyle Properties.
Already have a beautiful home for yourself? Have you ever thought about owning an investment property, or want to add to an existing property portfolio?
Now is the perfect time.
- High demand and low stock (and quality) available on the Gold Coast (and Australia-wide),
- More prospective tenants are turning up to inspections than ever before, and
- Some public viewings are cancelled at short-notice due to being tenanted so quickly.
Make the most of the conditions, as for the first time in a while, the power is in the seller’s and landlord’s hands.
What developers are doing
Development stock is proving very hard to come across with continued demand from not only Gold Coast locals, but residents of Brisbane, Melbourne and Sydney.
Off market transactions and amalgamations continue to go on behind the scenes, benefiting companies that previously purchased during COVID conditions to sell in a strong and positive market.
‘Antonio from GV Property Group has seen market uplift at a minimum of 10-15% for raw sites and upwards of 20% growth for permitted sites since June last year. One example they reviewed on behalf of a client was ‘Kailua’ 1805 Gold Coast Highway, Burleigh Heads which sold Pre Covid – September 2019 for $6.7m. The analysis now values the land comfortably above $10,000,000.’
Developers continue to focus on downsizer and owner occupier type arrangements whilst there is an emerging trend for investor products to be released back into the market to cater for more affordable sides of the market.
There is a lot of discussion surrounding the Olympic games and if QLD is the chosen location and the potential implications on planning density and height controls, further increasing demand in the Sunshine State. Further news on this will be announced once a decision has been made.
A Gold Coast Accountant for your property needs
Crest Accountants have the expertise and experience to help assist with and manage your property accounting needs.
We know, love and are proudly situated on the Gold Coast, so we understand wholeheartedly why you want to invest or nest in our beautiful, lifestyle-perfect area. Whether you need help understanding and enhancing your financial position, saving for a deposit, or anything else, Crest Accountants are here for you.
Contact Crest Accountants today.