The Cairns suburbs booming by posting big sale price gains
BUCKING a national soft growth trend, 10 Cairns suburbs are outperforming the market and registering big median sales price increases.
Caravonica stands out from the pack, topping the list of booming suburbs by returning a year-on-year jump in the median sale price of 25 per cent in the 12 months to the end of May.
REA Group strategic communication senior manager Phil Mahoney said the data offered good news for property owners.
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“For people who own in the area – if they were thinking of selling – with some really great price growth, now may (be a good) time to sell and capitalise on the market,” he said.
“Caravonica seems to be a suburb in Cairns that is in high demand and people want to live there. It’s definitely above average in terms of demand and that is contributing to price growth.”
Caravonica’s striking distance to the airport and good commuting options into the city contributed to the suburb’s appeal and was a factor in price growth, Mr Mahoney said.
“And people are looking at the type of property that is available and the attributes of the suburb,” he said.
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Mr Mahoney said there were 29 house sales in 2018 with a median sale price of $499,000.
“The median (sale price) jumped up quite a lot to $532,500 at the end of January, so it has started to taper off just a bit,” he said.
Earlville was the next best performing Cairns suburb, with an 8 per cent increase in sale price, Kanimbla and Kewarra Beach both logged 7 per cent growth.
Northern beach suburbs including Trinity Beach, Clifton Beach, Holloways Beach and Yorkeys Knob were also performing well and recorded between 4 and 5 per cent sales growth.
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“Australians love the beach. People living in a seaside city like Cairns are more attracted to that kind of lifestyle and will seek out those suburbs that are prime examples of everything that is great about the region,” Mr Mahoney said.
Flat sales growth across regional areas when compared to the market in the capital cities equated to comparative “boom-like” status, even if the growth rate percentage was in single digits, Mr Mahoney said.
“There are certain pockets and Cairns is a prime example where you have one suburb that has really outperformed the pack and the others are more in line with what is happening at a state level,” he said.
POPULAR WITH LOCAL FAMILIES
ATTRACTED to a family-friendly area, Louisa Greenwell moved into the Red Peak Forest Estate in Caravonica three years ago.
“We had been looking for ages to buy a place and we found it was a nice family-friendly area and it had quite good houses for the price. We felt it was good value for money,” she said. “And it’s close to the kids’ school, was the other main reason. We quite like that it’s close the beaches and close to town too.”
Being nestled at the foot of the rainforested mountainside and having the Barron River border one edge of the suburb were other big pluses about Caravonica, Ms Greenwell said.
“We don’t have any real neighbours and look out on to the bush and have beautiful views of the mountains; it’s really pretty and it’s a nice lifestyle for the children because they are outdoors so much,” she said.