Toowoomba council announces list of 60 properties scheduled for auction due to unpaid rates

Dozens of properties across the Toowoomba region could be auctioned off at the end of the year due to unpaid rates, as the threat of increasing mortgage stress looms. See the galleries here:

More Toowoomba residents are feeling the pinch of mortgage stress and cost-of-living pressures, as new council data reveals sharp spikes in city homeowners with unpaid rates.

The Toowoomba Regional Council has revealed a list of sites across the region that will go under the hammer in November if nearly $1.3m in rates are not resolved.

While the number of properties are consistent with previous years, the average owing amount has jumped from $16,000 last year to $21,000 this time.

Even the median average has increased, up to more than $15,000 compared with $13,800 12 months ago.

More than 61 per cent (37 of 60) of parcels are located within the Toowoomba urban extent, compared with just 41 per cent in 2022.

The number of ratepayers owing more than $20,000 has also increased in just 12 months, up to 31 per cent from just 15 per cent.

104 Taylor Street in Newtown has been listed for a potential auction due to unpaid Toowoomba council rates of $61,400.

It comes just months after the 4350 postcode was named the most mortgage-stressed area in Queensland, with nearly one quarter (23.9 per cent) of households feeling the pinch as of October.

Since then, the Reserve Bank increased the cash rate by 1.5 points to heap even further pressure on Australian families.

PropTrack economic research director Cameron Kusher said the impending fixed-rate mortgage cliff could lead to an increase in financial stress across Australia.

“Mortgage arrears are still extremely low, however interest rates have increased rapidly over the past year,” he said.

“We also saw a very high volume of fixed rate mortgages throughout the pandemic, most at an interest rate of around two per cent.

“The largest cohort of these loans is expiring over the next six to 12 months and will be seeing interest charges lift from around two per cent to six per cent.

“Some borrowers may not be able to afford these repayment increases and may need to sell.”

Cr Kerry Shine. Picture: Kevin Farmer

Councillor Kerry Shine said there was a range of mechanisms to help ratepayers keep up with their debts.

“While legislative powers exist under the Local Government Act to collect outstanding rates and charges, including the sale of properties in certain circumstances, we find it far better to offer a range of support mechanisms to enable ratepayers and residents to meet their legal obligations,” he said.

“There still is an opportunity for affected property owners to speak with council about available options to meet their current rates debt.

“Council encourages people to contact us to discuss a possible resolution.

“Based on recent experience, council expects most property owners will pay their outstanding rates before the sale of land auction.”

Of the 53 original listed last year, just four made it to auction in November.

The council will issue an official intention to sell notice next month, minus properties that have paid their outstanding rates.

A large parcel of vacant land on the corner of Ruthven and Stenner Streets in Kearneys Spring has been listed for a potential auction due to unpaid Toowoomba council rates of $238,200.

Eyesore tops unpaid rates list

A two-hectare vacant parcel and noted eyesore on the corner of Ruthven and Stenner Streets in Kearney Spring tops the list, owing the council $238,000 in charges dating back three years.

Landowner Matthew Yuen, who was rejected by council last year over a 15-year-old shopping centre proposal on the site, also has the second-highest owing property on the list in fellow eyesore the West Lake Chinese Restaurant in Newtown.

The site of the old West Lake Chinese restaurant on Anzac Ave in Newtown.

Councillors at Wednesday’s meeting, where the list was presented, noted the lack of movement on the Kearneys Spring parcel and its development opportunities.

“It would be wonderful if that could be sold so someone would do something with it,” councillor Nancy Sommerfield said.

“I keep reporting to get it slashed, and eventually I think (the owner) put goats on it.

“It would be wonderful to get it developed instead of being the eyesore it currently is.”

Check out the list of properties below.

NOTE: If you have since paid your outstanding rates and would like your property removed from the gallery, please email [e-mail].