Wow: Ten Cairns suburbs record price growth above 30% in a year

Two suburbs are poised to join the $1m-plus club in the Cairns region following stellar price growth over the past 12 months, with values soaring across the region. See the top 30 growth stars!

TWO suburbs are poised to join the million dollar-plus club in the Cairns region following stellar price growth over the past 12 months.

Palm Cove and Port Douglas regularly record eye-watering sales, but both have struggled to reach a median house sales price north of $1 million.

But new data from PropTrack shows that both suburbs are edging closer to that prestigious club, with the median house price in Palm Cove now $947,500 and $935,000 in Port Douglas.

Mowbray is the regions most expensive suburb with a median house price of $1,132,500, up a staggering 74.9 per cent in a year.

The coastal enclave has attracted some big prices, with a stunning Queenslander on a 5.25ha block selling for $2.8 million in December and a 3.45ha house selling for $2.9 million in January.

Mowbray’s second most expensive property sold for $2.275 million back in 2003.

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190 Trezise Road Mowbray sold for $2.8m

Meanwhile, house values in Palm Cove were up 21.5 per cent over the same period and up 73.1 per cent since 2019.

Just three years ago, the average house in Palm Cove cost $647,500.

But the pandemic exodus to the regions has seen some big money flowing north, with over 60 houses selling for more than $1 million since January 2020.

This Palm Cove apartment sold for $2.25m in March

Ray White Cairns Beaches principal Paul Stirling said Palm Cove and Port Douglas were seen as akin to Noosa and Byron Bay.

“The pandemic saw an unprecedented rise in inquiry for housing in this wonderful area,” Mr Stirling said.

“This almost immediate demand for new and second hand housing witnessed an almost panic level of buying – often unseen, or by rushed trips to Cairns to make the purchasing choice.

“Demand versus supply quickly stripped housing from the market, which was at a fairly average base price, to new more satisfactory levels.”

He said rising construction costs had influenced the upward price trend.

1 Wharf Street, Port Douglas, sold for $8.25m in December 2020

RE/MAX Cairns owner and broker Ray Murphy said the huge increase in interest in Palm Cove had come from southerners and westerners, with holiday-makers often attracted to property and choosing to relocate.

“It’s similar for Port Douglas, it gets high exposure from holiday-makers along with celebrity visitors, and that brings eyes and money to the area,” Mr Murphy said.

He said the fiercely hot market at Palm Cove and Port Douglas had a “trickle down effect” to more affordable beach locations including Clifton Beach, Kewarra Beach and Trinity Beach, resulting in strong capital growth in those suburbs.

Mr Murphy said while southerners may not have been able to afford a beach location in metropolitan cities, they saw Palm Cove and Port Douglas as affordable and solid long term investments.

Palm Cove beach. Picture: Brendan Radke

Meanwhile, the PropTrack Spring Report shows that12 house suburbs in regional Queensland posted profits north of 50 per cent, while in Greater Brisbane there were just two suburbs, Thorneside (52.6%) and Newport (51.6%).

Other top performers in regional Queensland include Alexandra Headland, Agnes Water, Jandowae, Warana, The Palms, Bokarina, Twin Waters, Charleville, Noosa Heads, Cooroibah and Paradise Point, each recording growth above 50 per cent.

Ingham, Mundubberra, River Heads and Tamaree were also among the surprise locations for house price growth above 40 per cent.

Cairns units in Yorkeys Knob, Edmonton and Holloways Beach also made the top 20 list for price growth.

A three-bedrom unit at Yorkeys Knob is listed for $625,000

PropTrack economist Angus Moore said he expected Queensland would continue to outperform other states in Spring, but added that prices were easing, even declining, in some areas, just like in other states.

“It has cooled but demand is still strong and above what it was pre-pandemic,” he said.

“There is also limited stock, more than there was but not as much as before the pandemic.

“However, many vendors are sitting on substantial capital growth so I think more might be motivated to sell.”

***

TOP 30 GROWTH STARS IN THE CAIRNS REGION (houses)

(Suburb/Median house value/% increase)

Goondi Bend $275,000 83.3%

Mowbray $1,132,500 74.9%

Tarzali $590,000 65%

Cow Bay $435,000 55.4%

Innisfail $245,000 40.8%

Bonnie Doon $612,500 40.3%

Cairns North $605,000 36%

Belvedere $368,750 31.9%

Wonga Beach $419,500 31.1%

Craiglie $714,750 30.2%

Clifton Beach $820,500 28.2%

Yungaburra $578,000 27%

Goldsborough $730,000 26.8%

Kewarra Beach $620,000 26.5%

Edge Hill $732,500 26.3%

Kanimbla $702,500 23.9%

Trinity Beach $650,000 23.8%

Tolga $475,000 21.9%

South Mission Beach $499,000 21.7%

Palm Cove $947,500 21.5%

Kuranda $605,000 21.1%

East Innisfail $230,000 21.1%

Bungalow $435,000 19.2%

Manunda $440,000 18.9%

Innisfail Estate $330,000 18.9%

Mission Beach $489,500 18.7%

Holloways Beach $525,000 18%

Smithfield $550,000 17.7%

Wongaling Beach $515,000 17.7%

Redlynch $623,200 17.6%

(Source: PropTrack)

Originally published as Wow: Ten Cairns suburbs record price growth above 30% in a year