PRD Coffs Harbour Property Market Update 2nd Half of 2020
In Q3 2020, Coffs Harbour recorded a median house price of $589,500, and a median unit price of $384,000. This represents annual (Q3 2019 – Q3 2020) median price growth of 10.2% for houses and of 9.7% for units. Between Q3 2019 – Q3 2020 total sales increased, by 10.9% for houses (to 309 sales) and by 6.8% for units (to 110 sales). Median price growth and increased sales activity suggest real capital growth in the area, in contrast to general COVID-19 predictions. This indicates high market resilience in Coffs Harbour, thus creating an ideal market for real estate transactions.
Average vendor discounts between Q3 2019 and Q3 2020 have tightened for both property types, to -3.4% for houses and -2.8% for units. Coffs Harbour provide unique opportunities. Sellers can achieve a final sale price closer to their first list price, whilst buyers can still benefit from a discount. Now is the time to transact.
In September 2020, house rental yields in Coffs Harbour were recorded at 3.9%. In the 12 months to Q3 2020, the median house rental price has increased to $480 per week, while average days on the market declined by -5.7% (to just 14 days). Overall, Coffs Harbour has proven to have a highly resilient rental market throughout COVID-19.
3 bedroom houses have provided investors with +4.7% rental growth annually, with a median rent of $450 per week.Also in September 2020, Coffs Harbour recorded an extremely tight vacancy rate of 0.1%, even below Coffs Harbour LGA’s very tight (0.6%) and well below Sydney Metro (3.5%). Vacancy rates in Coffs Harbour is now at a historical low, well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, and continuing on a declining trend even amidst COVID-19 conditions. This confirms there is an ongoing healthy rental demand, which benefits investors.