After the June 2024 quarter saw a 10-year high in the average new apartment sale price in the Gold Coast, our latest Apartment Essentials reveals this has risen even further in the quarter to September.
Our most recent quarterly report, which has been monitoring the market since 2014, shows the weighted average sale price jumping from $1.775 million in June to $1.895 million in September, with a $765,000 increase over the previous 12 months. This also follows four consecutive quarterly increases since Q3 2023.
While the number of new apartments remaining for sale in this region is at its lowest in almost two years, with 90 percent of this in the Gold Coast Central Precinct, this is explained by a lower level of supply across the region rather than a reflection of demand.
Recent rising construction costs and lack of available builders have resulted in fewer building launches. This largely contributed to lower sales rates, with the September results showing a decline in overall new apartment sales in the area, down 45% since June’s results (331 versus 180).
The Queensland Government’s ShapingSEQ Regional Plan suggests a need for 38,800 high-rise apartments to meet population growth targets across the Gold Coast from 2021-2031.
“At an average building scale of 90-100 apartments, this is the equivalent of around 430 new apartment buildings in the Gold Coast by 2032,” says Lynda Campbell, Senior Consultant at Urbis.
“The recent slowing of new project launches will hinder the Coast’s ability to hit these targets.
“In 2023, for example, 16 new mid and high-rise apartment towers were launched, containing 1,800 apartments. During 2024, to date, there have been only 11, containing around 800 apartments.”
New project launches peaked during 2021 (2,420) and 2022 (3,830). The slow down in launches and projects moving to construction is placing significant pressure on current stock and resulting in increasing prices.
Ninety percent of all sales across the Gold Coast were for a value of $1 million or above, with zero sales recorded under $750,000 for the quarter. Of the four Gold Coast precincts, the Southern Beaches Precinct recorded the highest weighted average sale price of $3.416 million. The Gold Coast Central Precinct recorded 92% of total sales and has held the highest supply since December 2019, with almost half of this currently in Surfers Paradise. All other precincts are in under supply.
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