Southport Property Market Update 2nd Half of 2020
Southport recorded a median house price of $545,000 and a median unit price of $382,000 in Q2 2020. Annual (Q2 2019 – Q2 2020) median price for houses softened by -9.0%, however units grew by 2.0%. Between Q2 2019 - Q2 2020 sales declined, by -48.8% for house (to 44 sales) and by -52.8% for units (to 159 sales). There is market resilience throughout COVID-19, as price grew for units, and aligned with most expectations, demand declined. Now is ideal for first home buyers, particularly with more affordable house prices.
In the 12 months to Q2 2020, average vendor discount has tightened to -3.5% for houses and -5.8% for units. Current market conditions in Southport provide unique opportunities where sellers can achieve a final sale price closer to their first list price, whilst buyers can still benefit from a discount.
In June 2020, house rental yields in Southport were at 4.2%, outperforming Gold Coast Main (4.1%) and Brisbane Metro (3.7%). Furthermore, in the 12 months to Q2 2020 house average days on the market declined by -12.6% to 28 days. This represents a resilient rental market throughout COVID-19, instilling investor confidence.
4+bedroom houses have provided investors with +3.2% rental growth annually, resulting in a median rent of $650 per week.
Over the June 2020 quarter, Southport recorded a low vacancy rate of 2.3%. This is lower than Gold Coast Main (4.0%) and Brisbane Metro (2.4%). Vacancy rates in Southport have declined since December 2019, amidst COVID-19 conditions. This indicates there is a healthy rental demand in Southport and a conducive investment environment.