Ipswich Property Market Update 1st Half of 2020
In Q1 2020, Ipswich recorded a median house price of $355,000, and median unit price of $194,000. This represents annual (Q1 2019 – Q1 2020) median price growth of 10.9% for houses and a softening of -11.8% for units. Between Q1 2019 – Q1 2020 total sales declined, by -34.6% for houses (to 106 sales) and by -47.6% for units (to 11 sales). There is a potential undersupply in the housing market, with price growth due to less sales. Ipswich property market is ideal for first home buyers, particularly as units are now more affordable.
Average vendor discounting between Q1 2019 and Q1 2020 has tightened to -3.8% (houses) and widened for units to -6.3%. Market conditions in Ipswich offer unique opportunities to both buyers and sellers. Sellers can achieve final sale prices closer to their first list price, whilst buyers can benefit from a discount.
House rental yields in Ipswich were recorded at healthy 5.0% in December 2019. This suggests that the house rental market is at a very healthy position as the Ipswich house rental yield surpassed both Ipswich LGA (4.6%) and Brisbane Metro (3.9%). This makes Ipswich an ideal, more affordable place for investment.
3 bedroom houses provided investors with +3.3% rental growth annually, achieving a median rent of $6310 per week.
Over the past 12 months to December 2019 the vacancy rate in Ipswich has seen a declining trend, to 2.3%. Vacancy rates in Ipswich have continued to record a declining trend over past 24 months, which indicates an increasingly healthier rental market. Further, vacancy rates in Ipswich is well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%. This is good news for investors as their properties are being occupied quicker.