Palm Beach Property Market Update 2nd Half of 2020
Palm Beach recorded a median house price of $915,000 and a median unit price of $545,000 in Q2 2020. This represents annual (Q2 2019 – Q2 2020) median price growth of 11.6% for houses and 6.3% for units. Between Q2 2019 - Q2 2020 sales increased, by 60.5% for house (to 69 sales) and by 1.3% for units (to 79 sales). The Palm Beach property market shows great resilience during COVID-19, from a price growth and demand perspective. There many opportunities for first home, with ample government incentives.
Over the 12 months to Q2 2020, average vendor discounting has tightened to -1.3% for houses and remained stable at -3.0% for units. Market conditions in Palm Beach 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 June 2020, house rental yields in Palm Beach was recorded at 3.8%. In the 12 months to Q2 2020 house average days on the market declined by -28.8% to 21 days and median unit rental price grew by 4.7% at $450 per week. This represented a resilient rental market throughout COVID-19.
4+ bedroom houses have provided investors with +18.8% rental growth annually, with a median rent of $950 per week.Over the June 2020 Quarter, Palm Beach recorded a low vacancy rate of 0.8%, outperforming Gold Coast Main (4.0%) and Brisbane Metro (2.4%). Vacancy rates in Palm Beach¥ have continued to be on a declining trend since June and December 2019, even amidst COVID-19 conditions. This confirms there is a healthy rental demand and investors can be confident of conducive investment environment in Palm Beach.