Gympie property prices rising faster than Noosa, Scenic Rim
GYMPIE property continues to sit pretty despite a tightening market with the region one of Australia's best performers over the past year in a new report by researchers Propertyology.
Over the year spanning May 2018 to May 2019, the region recorded a 6.3 per cent increase in median house price, outperforming Mackay, Noosa, and the Scenic Rim.
It follows a 2018 year-end of 6.5 per cent increase, and a 2017 year-end increase of 3.3 per cent.
Propertyology Head of Research Simon Pressley said the region had been one of the state's best performers in the past four years.
And there were a few reason why, starting with agriculture.
"Agriculture in general has performed better as an industry than what capital cities realise,” Mr Pressley said.
The region had also been a winner thanks to interstate migration, and not over-saturating the market.
"Other parts of the state have produced a bit more (housing) supply than was needed,” he said.
"Gympie hasn't been over-stimulated by supply.”
The growth comes in the face of a tightening property market, with the number of property sales dropping over the past four years.
"Since 2015, the property sector was whacked with a series of blows that culminated in a spiralling reduction in national transaction volumes and worked directly against the grain of all efforts to improve economic conditions and wage growth,” Mr Pressley said.
"In fact, the past 12 months were the worst that Australian real estate has experienced in 30 years.”
However, the group's data showed the regional areas continue to outperform.
While southeast Queensland's higher profile draws lots of attention, job creation remains the missing link, which is why the research found that the metrics look better in other Queensland regional locations.
The tsunami of large job-creating projects under way and in the pipeline in Cairns combined with very tight housing supply is one such example, Mr Pressley said.
Policy changes after May's federal election had also loosened things up.
"More important than negative gearing surviving the Federal election chop and interest rate cuts by the RBA was APRA's decision to allow banks to reduce loan assessment rates by circa two percentage points,” he said.