Tannum Sands Property Market Update 2nd Half of 2020
In Q3 2020, Tannum Sands recorded a median house price of $350,000, and a median unit price of $200,000. This represents annual (Q3 2019 – Q3 2020) median price softening of -4.1% for house, however a 3.1% strengthening for units. House sales between Q3 2019 – Q3 2020 declined by -10.7% (to 25 sales), however demand for units have picked up, recording 6 sales in Q3 2020. Overall, the property market in Tannum Sands remained resilient amidst COVID-19, with real capital growth for units. A softer median house price indicates a more affordable market for first home buyers.
In the 12 months to Q3 2020, average vendor discount has slightly widened for houses, to -7.1%. This indicates that current market conditions in Tannum Sands provide unique opportunities for buyers, as they can benefit from greater discounts. Now is the time to enter the market.
In September 2020, house rental yields in Tannum Sands were recorded at 4.7%. In the 12 months to Q3 2020, median house rental price grew exponentially by 9.4% to $350 per week. This is also in conjunction with average days on the market declining by 17.4% (to 19 days). Overall, this represents an extremely resilient rental market amidst COVID-19 conditions.
2 bedroom houses have provided investors with +22.7% rental growth annually, with a median rent of $270 per week.
Also, in September 2020, Tannum Sands recorded a low vacancy rate of 1.2%, sitting well below that of Brisbane Metro (2.0%). Vacancy rates in Tannum Sands have significantly improved over the past 3 years and is currently well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, continuing to decline amidst COVID-19 conditions. This signals that there is an ongoing healthy rental demand in Tannum Sands , which will significantly benefit investors.