Ramsgate Beach Property Market Update 2nd Half of 2021

In Q3 2021, Ramsgate Beach recorded a median house price of $2,205,000, and a median unit price of $745,000. This represents annual (Q3 2020 – Q3 2021) median price growth of 39.5% for houses and a slight price softening of -0.7% for units. Between Q3 2020 – Q3 2021 total sales increased by 47.1% for houses (to 75 sales) and decreased for units by -28.6% (to 152 sales). A combination of increased sales and median price indicate there is real returns in capital growth for houses in Ramsgate Beach - thus an ideal time to sell. First home buyers need to take advantage of a more affordable unit market.

Average vendor discounts between Q3 2020 and Q3 2021 for houses has continued to travel at a higher premium of 7.7%, and for units it swung to a premium of 0.6%. Vendor premiums in the Ramsgate Beach housing market have climbed since the start of 2020 whilst the unit market has traditionally traded close to the asking price. Sellers have strong bargaining power in the Ramsgate Beach housing market.

In September 2021, unit rental yields in Ramsgate Beach were recorded at 3.1%. In the 12 months to Q3 2021, the median unit rental price increased by 2.3% to reach $450 per week, which is complemented with the average days on the market declining by -20.0% (to 28 days). Overall, this represents a resilient rental market despite COVID-19 and ongoing lockdowns.

3+ bedroom units have provided investors with +3.3% rental growth annually, with a median rent of $620 per week.

Also in September 2021, Ramsgate Beach recorded a vacancy rate of 4.1%. Although this is above that of Bayside LGA (3.3%) and Sydney Metro (2.7%), vacancy rates in Ramsgate Beach have been on a declining trend since December 2020. Rental demand is improving, however as vacancy rates remain above the Real Estate Institute of Australia’s healthy benchmark of 3.0% investors may wish to sign tenants to longer leases for increased cashflow security.