The Gold Coast property investment market has suffered over the last five years and while there seems to be signs of improvement on the property market recently I would still advise to tread very carefully in this market.
There has been a major oversupply in high-rise apartments and there continues to be with $6 billion worth of development in the State Government approval pipeline – more than any region in Queensland.
Unit values are still lower today than they were five years ago with prices falling an average of 3% per year since 2008. It still takes six months to sell the average Surfers Paradise unit, according to Australian Property Monitors. The Gold Coast Investment Property market has been arguably the worst-performing major market in Australia over the past five years. And it’s all been caused by a surplus of high rise apartments.
Will the market get better on the Gold Coast? There is a significant amount of upcoming planned infrastructure projects, there is lots of construction in the pipeline and tourism has shown signs of growing again. The Commonwealth Games also will be held on the Gold Coast in 2018. However supply here is still the major concern with a lot of major high rise apartment buildings set to commence)
Investors who are considering purchasing on the Gold Coast should stick to the housing market in inland suburbs and stay clear of high rise apartments.
If you are considering buying a property contact Real Estate Investment Finance today on 1300 130 932 for an obligation free finance review and home loan borrowing capacity assessment.