Despite recording a decline in sales, the Gold Coast new apartment market is showing resilience with a higher sale rate than 12 months ago.
The Urbis Gold Coast Apartment Essentials Insights revealed a decline in sales during the second quarter of 2020 – down from 265 during quarter one to 156.
While this is a lower result than the previous three quarters, the market recorded a higher sales rate than 12 months ago when 153 sales were recorded during quarter two of 2019.
The report revealed COVID-19 has impacted the momentum that was in the market and caused a slowing of sales rates as overseas and interstate investors are hampered by border restrictions.
“While there is still uncertainty and caution in the market, Queensland’s response and results during COVID-19 will bode well when borders open and interstate and overseas buyers can move freely,” said Urbis director Lynda Campbell.
“As people reset and reassess their living and employment options, the Gold Coast is well placed to see an influx of investors and new residents looking for a lifestyle change.
“The ability to work from home, or from any location with reliable internet, has been proven and is a previous barrier to interstate and overseas migration that has been removed.”
The weighted average sale price increased $51,813 to $861,624 while supply levels have fallen to their lowest level in six years.
At the end of June 2020, there were 813 new apartments available for sale – the lowest level since quarter two of 2014 when there were 721 remaining on the market.
The majority of new apartment stock for sale is in the GC Central Precinct.
No new projects were launched during the quarter but there are 14 projects pending launch over the next six to nine months containing 723 apartments.
The above article was originally published by The Gold Coast Bulletin.