Gladstone housing market price growth second best in QLD
THE Gladstone housing market is in a very strong position, with median house price growth the second best in the state over the past year, according to the Real Estate Industry of Queensland.
The REIQ June Queensland Market Monitor Report states, in the less than 2400 sq m house market, Gladstone’s median price increased by 3.9 per cent to $281,000.
“Plus, over the quarter, Gladstone’s median house price was up 2.2 per cent, second only to Noosa for price performance for the first three months of 2020,” the report said.
The city’s tightening rental market continued the positive trend, with a vacancy rate of just 1.6 per cent, making Gladstone one of the tightest rental markets of all major locations in the state.
“During the lockdown, it appears that the situation has got tighter still with the number of rental properties advertised for sale falling even further,” the report said.
“Meanwhile, the increasing demand for rental properties has pushed weekly rents higher.”
The only downside for Gladstone out of the report was the unit market.
“Over the March quarter, the median unit price decreased five per cent to $170,000,” the report stated.
“That said, over the year ending March 2020, the median unit price increased 0.3 per-cent to $171,000.”
In comparison, Bundaberg’s housing market recorded a 5.6 per cent drop in prices over 12 months to $276,000, while Rockhampton had a median sale price of $265,000, an increase of 3.9 per cent.
A positive influence on the Queensland housing market was the $680 million HomeBuilder scheme, a tax-free grant introduced by the Federal Government in a bid to support the residential building industry through the coronavirus pandemic.
To continue the trend, REIQ CEO Antonia Mercorella called for an extension of the first homeowners grant to established housing, a 50 per cent reduction in development application costs, plus a 75 per cent reduction in stamp duty during COVID-19.
Ms Mercorella said stamp duty should also be removed for people over 65, there should be a 50 per cent cut in stamp duty for residential investment properties committed to the permanent rental market for three years or more, plus a 40 per cent cut in stamp duty for all other residential properties.
“Queensland’s residential real estate sector is worth over $1 trillion and employs over 50,000 Queenslanders directly with many more employed in associated industries,” she said.
“Activity within the real estate sector contributes in excess of $30 billion every year to the Queensland Government.
“Protecting and sustaining the Queensland real estate sector is critical to safeguarding our property market and supporting our local economy.”