The Gold Coast suburbs at the centre of a price boom
GOLD Coast house prices have been slowly climbing over the past year but some suburbs appear to be in the midst of a price boom.
Latest realestate.com.au data shows median house prices in Jacobs Well ($560,000), Paradise Point ($1,137,500) and Biggera Waters ($780,000) have jumped as much as 15 per cent in the year to the end of May.
While it has been a slow year for the Australian property market, industry experts say the spikes come as no surprise.
Realestate.com.au chief economist Nerida Conisbee said most of the Coast’s suburbs that recorded hefty rises were under $1 million.
MORE NEWS: What the Coast’s property market will look like in a decade
MORE NEWS: QLD suburb tops the nation
“Some of them aren’t that expensive so that’s part of it,” she said.
“There are people who are looking for affordability and those areas provide that.”
She said with more house hunters flocking to the areas, the more likely prices would increase.
An influx of young renters wanting to buy, particularly in the more affordable locations, was also contributing to the increases.
“We’ve been seeing really strong rental demand on the Gold Coast for the past couple of years,” she said.
“I think there’s been a lot of young people looking to these areas now they’re looking to buy.”
Amir Mian, the director of his self-titled agency, compared Paradise Point to Mermaid Beach, explaining they both had similar village lifestyles with a popular cafe and restaurant scene.
“It is offering what Mermaid Beach is offering,” he said. “The difference there is that it’s mostly residential … and less touristy.”
Increased demand as well as a rise in the number of people knocking down older homes and building new ones was what he said was bumping prices up.
Harcourts Coastal agent Tim Zampech echoed Mr Mian’s comments, explaining the northern suburbs were the next best beachside areas.
“Even though it’s not the surf beaches, it’s still a beachside suburb and it’s still so cheap in comparison to other suburbs on the Coast,” he said.
“Some people’s budgets wouldn’t allow them to get into the more expensive suburbs, these will always be more affordable than the central suburbs.”
According to the data, Maudsland had the second-highest increase with its median house price jumping 12 per cent followed by Tallai (7 per cent) and Palm Beach (6 per cent).
TOP BOOM HOTPOTS
1. Jacobs Well, up 15 per cent to $560,000
2. Paradise Point, up 15 per cent to $1,137,500
3. Biggera Waters, up 15 per cent to $780,000
4. Maudsland, up 12 per cent to $643,750
5. Tallai, up 7 per cent to $895,000
6. Palm Beach, up 6 per cent to $857,000
7. Miami, up 5 per cent to $775,000
8. Ormeau, up 5 per cent to $504,000
9. Labrador, up five per cent to $550,000
10. Broadbeach Waters, up 4 per cent to $1.15 million.