Gold Coast property rush eases but don't expect rental market to cool anytime soon
Gold Coast demand for property remains strong as this article in the ABC suggests that rentals will not ease for sometime coming.
A "fear of missing out" may have kicked off the "extraordinary growth" of the Gold Coast's housing market, but even as the hype eases, industry figures warn rising rents are likely to continue.
- Median Gold Coast rents have increased by up to 30 per cent since 2020, with house prices up by 20 per cent according to REA Group
- Demand remains stronger than the rest of the country, but rising construction costs limit the new supply
- The market is stabilising but "unforeseen" factors present risks
The surging demand, which saw median house prices increase by50 percent in suburbs like Palm Beach and Mermaid Beach, began to ease earlier this year.
"People just don't have that fear of missing out they had over the last two years when there was so many buyers, and there was such a small amount of supply," REA Group's economic research manager Cameron Kusher said.
Despite rising interest rates having "taken the heat out the market", Mr Kusher said the rental market was likely to remain "really tight" with rising building costs and other "unforeseen" factors undermining the construction of new properties.
"There is this expectation that some of these supply chain issues will ease, but a lot of that is going to be dependent on, for example, China abandoning its zero-COVID policy," he said.
The importance of the pre-market processMarch 15, 2023
6 Questions with Mark WeddingJanuary 31, 2023