Revealed: house prices in every Gold Coast suburb

Exclusive annual home value data shows where prices plunged, and where they held strong, as the national property market downturn took hold. INTERACTIVE: HOUSE PRICES IN EVERY SUBURB

Currumbin Waters was one of the boom’s strongest lifestyle markets but prices fell last year

HOME values plunged in 31 Gold Coast suburbs last year, with the property market headed for further downturn in 2023 before prices stabilise.

Exclusive new data from PropTracks shows house prices dropped across the city by up to 11.3 per cent in the 12 months to December 2022, with the biggest annual falls recorded in the southern suburbs of Currumbin Waters, Elanora, and Tugun.

The median house price was about $1.1m in each of those three suburbs in December.

Houses in Burleigh Waters (median $1.4m), Currumbin ($1.5m), Coolangatta ($1.5m) and Palm Beach ($1.5m) were 5.8 to 7.6 per cent cheaper than they were a year ago.

But prices held firm or increased in the remaining 60 suburbs surveyed, with the northern pockets of Hope Island, Helensvale and Gaven all notching up impressive gains of 8.5 to 10.1 per cent, to medians of $1.4m, $1m, and $1.1m respectively.

Wongawallen in the Hinterland was another standout performer, up 9.3 per cent to $1.3m, and sales in Surfers Paradise also surged 7.7 per cent to $2.2m.

PropTrack economist Eleanor Creagh said price falls became more widespread towards the end of last year, but Qld had so far shown more resilience than some of the southern states.

“The pace of population flow north has eased from the large levels we saw during Covid, but still remains above pre-Covid averages, so that level of interstate migration is likely to provide support — and the fact rental vacancies are very tight,” Ms Creagh said.

But she flagged further falls for the Coast’s lifestyle hotspots.

“The quarterly declines showed price falls became more widespread on the Gold Coast into the end of the year with substantial rate rises continuing,” Ms Creagh said.

“One of the other trends is that higher-value property types and suburbs are seeing prices fall the fastest. A lot of those very popular lifestyle and coastal locations are now seeing larger price falls.”

This Gaven property is on the market for $1.2m

A further interest rate hike of 0.25 per cent was likely when the Reserve Bank of Australia meets in February.

Latest listings data from SQM Research shows properties lingered on the market longer, with a 35 per cent increase in the number of Gold Coast homes advertised for sale for 180 days or more in December 2022, compared to the same time last year.

New listings for the month came to 666 — down from 1008 in 2021.

SQM head of research Louis Christopher said he was “concerned” by the possible magnitude of price correction, given the pandemic’s huge upswing.

“We are all well aware of the massive run-up in prices between late 2020 and through 2021, and that is typical of southeast Qld where that boom-bust cycle can occur, and I am a bit concerned about the size of the correction.”

This Elanora property sold for $1.275m in December

Mr Christopher said a cash rate of 4 per cent or more would increase the risk of a major surge in distressed activity.

“This rise in older stock completely confirms the depth of this housing downturn and is very typical of what was recorded in past downturns where you see a build-up of unsold property.”

Gold Coast buyers agent Oliver Dunstan, of Rose and Jones, said stock levels were likely to stay low until mid-year.

The official cash rate currently sits at 3.1 per cent after eight consecutive increases in 2023.

While price falls could bolster buyer confidence of snagging a better deal, this was offset by decreased lending capacity which came with each interest rate rise.

This four-bedroom home in Currumbin Waters was sold at auction for $1.505m

“Plenty of locations will suffer further decreases in property values and an increase in days on market when trading,” Mr Dunstan said.

“Most buyers, particularly first home buyers, are hopeful of being able to enter the market due to lower levels of competition and potentially lower prices for certain assets. However, the cost of lending has increased to the point where some buyers will be paying more in repayments for the same, lower priced asset they may have bought in recent years at a higher price,” Mr Dunstan said.

“Almost all buyers are fearful of overpaying in today’s market, meaning some are trigger-shy and will spend a lot longer looking for the right acquisition.”

Home values in Burleigh Waters were down after strong growth through the pandemic. This house sold for $2m

Buyers at the top end of the market favoured new or renovated property as lending criteria tightened and the construction industry reeled from the effects of global inflation.

“Strong assets in desirable locations will continue to draw competition and achieve solid prices, either in line or above the peaks of late 2021/early 2022.

“There is still plenty of money sitting on the sidelines, and when the RBA completes this rate rising cycle, many will believe we have found a floor in the market, and I predict more competition in the back end of 2023 than through the first two quarters of the year,” Mr Dunstan said.

Helensvale was one of the year's strongest performers. This house sold for $2.15m

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Real Estate Industry of Queensland CEO Antonia Mercorella said while buyers would remain cautious until rates stabilised.

“In saying that, demand remains strong and scarcity of supply is not something that changes

overnight, so we’re expecting to see prices remain firm,” Ms Mercorella said.

Investor confidence was buoyed by a range of factors, including high interstate migration and the return of international migration, as well as Qld’s relative affordability compared with other states.

A three-bedroom renovated Hope Island house sold for $900,000

Ms Mercorella said rental vacancy rates hovered near record lows, providing another incentive for investors — albeit at the expense of tenants with further rental price hikes possible as housing supply fell short of demand.

“It’s unlikely vacancy rates will see any significant shift in the foreseeable future due to complex supply and demand constraints.

“While we all wish we could tell these people that we can see light at the end of the tunnel for them, the sad reality is that renters could be enduring this tight market for some time.”

Originally published as Revealed: house prices in every Gold Coast suburb