The suburbs, regions property owners refuse to leave
QUEENSLAND property owners are becoming even more reluctant to let go of the place they call home.
But new figures show we are not alone, with the average hold period nationally rising to 11.3 years for houses and 9.6 years for unit, an increase of almost four years and three years respectively since 2009.
MORE NEWS: Where to buy your own ‘small country’ in Australia
‘Scomo miracle’: RBA and APRA driving real estate turnaround’
QLD leads top 100 list for investors
In the river city, the length of time that owners hold on to their properties closely mirrors that national average, with people keeping a firm grip on houses for 11.3 years and 9.8 years for units.
A decade ago, owners were, on average, letting go of houses after seven years, and units after 5.8 years, according to the CoreLogic data to May this year.
“The average hold period figure is based on sales from the past year, using the latest sold date and the previous sold date to establish how many years a property has been held for between each transaction,” according to CoreLogic.
“The average hold period has consistently increased since 2005 across both house and units nationally.”
The trend continues in regional Queensland, where the average hold period for both houses and units continues to climb.
Regional Victoria and Queensland represented the areas with the longest average hold periods across regional Australia, with houses across both regions currently being held on average 11.1 years, the report said.
In regional Queensland, that hold period has increased from 6.5 years a decade ago.
The average hold period for units has also gone up, rising from 5.9 years in 2009 to 9.8 years this year.
On a council level, Hinchinbrook (16 years), Blackall-Tambo (15.6), Mount Isa (15.3), Banana (14.9) and the Cassowary Coast 14.8) were among the nation’s most tightly held housing markets.
For units, the Cassowary Coast (12.8 years), South Burnett (12.7) and Tablelands (12.6) were among the councils with the longest average hold period in Australia.
By comparison, homeowners in Cloncurry held on to properties for the shortest period, or 7.8 years on average, beaten only by East Pilbara in Western Australia (7.7 years).
“The data suggests that homeowners are much more reluctant to sell their property than they were a decade ago which is also highlighted by the ongoing decline in sales transactions,” according to CoreLogic.
“Other factors such as the rising cost of selling and purchasing property, combined with affordability constraints across some Australia’s more expensive capital cities contribute to owners holding onto their properties longer.
“It’s expected that this trend will continue over the coming years given such concerns aren’t likely to see much improvement in the near future.”
Back in Brisbane, the latest CoreLogic Market Trends report has revealed what suburbs are the most tightly held in the river city.
Chandler, which is 14kms from the CBD, has the city’s longest average hold period at 22 years.
The suburb, which is known for its grand estates, is also one of the city’s most expensive housing markets, with a current median house price of $1.5 million.
It also has one of the city’s highest weekly household incomes.
McGrath agent Joseph Lordi is currently marketing 303 Archer Street at Chandler, a landmark residence on 2.5 acres.
The owners, who are downsizing, bought the site for $290,000 back in 1996, and built their dream home, which is dripping with luxurious features.
“With Chandler, I think its proximity to everything is the big factor,” Mr Lordi said.
“It offers acreage very close to the city, big landholdings, but reasonable rates.
“You are also close to the Gateway, Carindale shopping centre, the Bayside, so close to lots of lifestyle options and an easy dive to the city.
“It’s a popular area for executive families so the average sale price is north of $1.5 million, not far off places like New Farm and Teneriffe.”
Dutton Park is the city’s second most tightly held suburb, with an average hold period of 20.4 years.
It is a high demand market, according to realestate.com.au, and undergoing significant rejuvenation, yet houses for sale are few and far between.
One that is on the market is 23-29 Borva Street, two blocks including one with an architecturally-designed house that is listed with Christine Rudolph of Ray White New Farm.
The current owners have lived there for 20 years, according to property records.
Ms Rudolph said they were currently negotiating with a committed buyer who saw Dutton Park as a future high growth suburb.
“It is a hidden and underrated pocket but that’s changing now,” she said.
“Dutton Park is shedding its undesirable image with the rejuvenation of the old prison precinct in to a lifestyle hub.
“It is a great example of the rejuvenation that is going on in many of Brisbane’s inner suburbs.”
Rounding out the top five most tightly held suburbs are Macgregor, Mansfield and Newmarket.
Mansfield, in particular, is highly sought-after by parents keen to get in to the coveted Mansfield High school catchment.
The school catchment is a significant selling point for listings in the suburb.
BRISBANE’S MOST TIGHTLY HELD SUBURBS (houses)
*Suburb — Median house price — Average hold period (years)
Chandler $1,500,000 22.0
Dutton Park $936,250 20.4
Macgregor $726,000 18.7
Mansfield $688,000 18.3
Newmarket $870,000 17.8
Wishart $725,500 16.9
West End $1,032,500 16.6
Petrie Terrace $808,000 16.6
Albion $827,000 16.5
Robertson $1,070,000 16.5
Mount Ommaney $865,000 15.8
Brookfield $1,100,000 15.7
Teneriffe $1,875,000 15.4
Yeerongpilly $807,775 15.2
Sunnybank Hills $647,500 15.2
East Brisbane $865,000 15.1
Chapel Hill $795,000 15.0
Ferny Grove $622,000 15.0
Clayfield $1,170,000 15.0
Sunnybank $715,000 14.9
(Source: CoreLogic Market Trends Report September 2019)