Market Update with Steve Lane

As always, the first quarter of the year will be a good indicator on how the year will unfold. Should the Sydney and Melbourne markets continue to perform well, this will be a good sign for the coast market. Unfortunately, like 2019, 2020 has the dark cloud of not one but two elections looming. The local government election is set down for the end of March and the state election set for the end of October. 

Coastal areas with proximity to the beach are always highly sought after with supply remaining generally tight and values picking up. The coast lifestyle is a major driving factor and there is no reason this will not continue. The coastal strip from Noosa to Caloundra in the sub-$800,000 price range is expected to continue to be in demand, however it is becoming increasingly difficult to find good quality homes under this level.

Units in these areas are a little difficult to gauge. The larger permanent occupancy style product has become increasingly popular with empty nesters. The prestige market has had an uptick also right along the coast with the main focus continuing to be the northern coastal areas surrounding Noosa. There are a number of unit complexes under construction with some due for completion this year. From what we have seen, the majority of interest is in owner-occupier style units and complexes that directly target this market are going well. 

The good news stories continue to be the considerable infrastructure projects underway that should attract new investment to the coast. The Maroochydore CBD and Sunshine Coast Airport expansions have been moving along with the Sunshine Coast International Broadband Submarine Cable project dovetailing in beautifully. Providing Australia’s fastest telecommunications connection to Asia and the second fastest to the United States is an unbelievable opportunity for a regional centre. 

2020 is still expected to see some good activity across the residential market. Will it be as strong as 2019 is anyone’s guess given the two looming elections. There is one thing for certain – the Sunshine Coast appears to be positioned well for the future.   

To learn more about the current market conditions give Steve Lane a call 0412 346 333