Property Prices in Oz

10 July 2009 By Di Thompson

Here in Australia, as in much of the rest of the world, there has been a recent slump in the property market. Prices are down as much as 30 percent in some coastal area of Queensland. Now, with historically low interest rates, that means cashed-up captains and crew, who are serious about purchasing a home or an investment property, can pick up a bargain in a great location like the Gold Coast.

What’s more, the Australian government is offering a First Home Owners Grant (FHOG) of AUS $21,000*. Originally set to expire at the end of June, it has been extended by three months until September 30, 2009.

Independent real estate agent Tracie Worth says, “The property market here on the Gold Coast is busy in the low hundreds to mid-six hundreds price range. All types of properties are moving fast. It’s five o’clock on the property market, so set your alarms if you are ready to purchase.”

Property agent Andrew Bell, the CEO of Ray White Surfers Paradise, predicts, “In the next three years, we will see an increase in property prices in all major Australian centers, especially here on the Gold Coast.” He adds, “Recent news released confirms that Australia has not fallen into a technical recession and is one of the five best economies in the western world today. It is well documented that the volume of real estate sales is rising sharply, not only southeast Queensland, but also in the major regional and coastal centers along the northeastern seaboard.”

Broadbeach, Surfers Paradise and Main Beach are all favorite and affordable locations for young professionals to invest in due to their proximity to marinas and to all major Gold Coast attractions. Desirable high-rise apartments with facilities such as a swimming pool, gym, barbecue and tennis court to three-story walkups to brick and tile homes, are all courting strong interest. So the agents recommend that crew put in offers now before the market recovers in the new year.

Current research shows that many vendors are even holding onto their real estate in locations that are showing good market performance.

Spokesperson for Cairns Century 21, Janelle Mancel, says, “The beginning of 2009 figures showed that the housing market slumped by up to thirty percent in some areas of the far north. However, now in the second quarter of the year, the signs of recovery are evident, particularly in the northern beaches and the city centre.”

There are quite a number of bargains still available, but cashed-up yachties need to be quick because they will not last!

The message is clear and it is that real estate is back on the move and with interest rates unlikely to be much more attractive than they are today. Putting off securing your real estate now will only cost you money down the track.

*The Australian Government first homebuyer’s grant of $21,000 is open to Australian tax-paying residents only.