Specialising in Rental Property Management
Sunshine Coast

Real Estate Queensland

ALL SUNSHINE

Everything is roses across the ' Sunshine State ' according to reports from the Real Estate Institute (REIQ) of Queensland . Anastasia Hackett recaps the story.

"This is a welcome change after a long period of stagnation in the local metropolitan markers, as well as a fall in the median (house price) of one per cent over the period between the June and September quarters last year," REIQ Chairman Peter McGrath says. "A significant reason for the improvement in sales activity and prices across the board is interest rate stability. It has been 12 months since we had an increase, so the stability of interest rates as will as the likelihood that they will stay in a holding pattern has given homebuyers and investors more incentive to buy."

Certainly, it was good news for Brisbane , with a median price of 1.4 per cent for the quarter and the Gold Coast should also be a bit chuffed with its 3.3 per cent rise, which is the highest quarterly growth it has had since late 2003.

Unfortunately, though, the Sunshine Coast cannot really share in the celebrations. The Maroochy Shire did perform almost as well as the state capital with a 1.3 per cent increase in median house prices, rising from $380,000 in September to $385,000 by December but Caloundra and Noosa did not fare quite as well.

Noosa recorded the second largest decline in median prices of all the key local government authorities in Queensland . It dropped 7.5 per cent from a high of $416,000 in September to $385,000 in December. It should be noted, however, that Noosa is particularly volatile on a quarterly basis due to the limited size of the market and the large price variations between the properties within it. These results may be a reflection of more movement in the lower end.

Caloundra may have to fall back on a similar excuse. Its median dropped 1.6 per cent fro $380,000 to $373,750 over the quarter. Negative results like these, however, were definitely not the norm for the state in the final selling period of last year.

Regional centres like Emerald, Mackay and Townsville went ahead in leaps and bounds, recording median house price growth of between 3.6 (Townsville) and 7.9 (Emerald) per cent within the quarter. The REIQ says the upswing across the state is a sign that the real estate market stagnation is coming to an end.

"It is very good result for property owners in Queensland , and it looks promising for the future. If interest rates remain stable, and the forecast looks good, then the market will kick up again," Peter McGrath says.