Investors and out-of-town buyers surge 114% property price spike

The green light of the region’s latest hospital has seen out of town investors jump all in, betting on the expected boom. Details here.

The securement of the region’s new medical precinct has seen property investors jump in, betting on the expected boom.

Units and apartments in Rockville have seen a spike in purchase prices over the past 12 months, with 42.9 per cent growth putting the average pice of a unit at $300,000.

House sales in Wilsonton Heights have seen a 21.2 per cent increase, averaging to $351,500.

“There’s a model that when a medical precinct goes in, the immediate surrounds sees incredible growth,” NGU Real Estate sales consultant Matt Hawkins said.

“The new hospital has the tick of approval, so a lot of southern investors from Melbourne, Sydney and Adelaide … they have purchased (these homes) and are now banking on the medical precinct growth.

“Rockville and Wilsonton Heights … you list something there, and you’ll get bombarded with investors from down south.”

Plans for the $1.3 billion Toowoomba Hospital were secured through the Queensland Government’s state budget, with the hospital to be constructed at Baillie Henderson.

Construction will begin this financial year and is set for a 2027 completion.

Moves have been made by the Toowoomba Regional Council to expand the amount of residential dwellings near the new site.

The council has requested the State Government sign off on a new temporary local planning instrument, which would cut red tape on emerging community-zoned land across Toowoomba that could be worth about 5,500 new lots.

One of these sections affected is a large collection of lots fronting onto Vanity Street in Rockville.

In a post-Covid boom, surrounding Toowoomba properties have seen a huge spike in purchase sales, with some suburbs witnessing a 114 per cent jump.

Mr Hawkins said the region was a gold mine for out-of-town investors and professionals relocating from Sydney, Brisbane and the Gold Coast.

“They have all taken off,” he said. “They have worked out that they don’t have to be in the office anymore and they can all work from home.

“They’re selling their three bedroom unit for $3M … and they’re now moving to Toowoomba, but with Sydney money.”

According to Mr Hawkins, people were moving to Toowoomba for three reasons; job availability, lifestyle and climate, and value for money.

“If they’re looking to spend $2M on a home here … they look at our market and have struck gold,” he said.

“You will see a lot of homes go on the market now without a price … it could be offers to purchase or sometimes an auction.

“That is purely because someone coming from outside Toowoomba will blow everyone out of the water. They will have a really strong offer put forward.”

Median house property prices in Cawdor have jumped 114.3 per cent in the past 12 months, while Murphys Creek has seen a 111.5 per cent rise.

“When Covid hit and everyone was locked up, it forced people to recognise that they want more space,” Mr Hawkins said.

“They have sold something where they may have been in a unit or a smaller block, and they just want space.

“That’s why places like Highfields, Cawdor, Westbrook, Hodgson Vale, Withcott and Murphy’s Creek have really jumped. It’s a Covid-based purchase. They’re lifestyle properties.”

Originally published as Investors and out-of-town buyers surge 114% property price spike