Tweed Coast Property Market Update 2nd Half of 2020
Tweed Coast recorded a median house price of $905,000 and a median unit price of $587,000 in Q2 2020. This represents annual (Q2 2019 – Q2 2020) median price softening of -0.3% for houses, however units grew by 15.1%. Between Q2 2019 - Q2 2020 sales declined, by -11.3% for house (to 55 sales) and by -47.4% for units (to 40 sales). A decline in demand and cooling market conditions were expected due to COVID-19, however there is price resilience in the market. Now is an ideal opportunity for first home buyers to enter the market, with less competition and government incentives.
Over the 12 months to Q2 2020, average vendor discounting has widened in Tweed Coast, to -9.4% for houses and to -5.6% for units. This indicates that buyers are benefiting from great discounts and negotiating below first list asking prices.
In June 2020, house rental yields in Tweed Coast was recorded at 3.9%. In the 12 months to Q2 2020 median house rental price grew by 1.6% at $650 per week and median unit rental price grew by 0.6% at $483 per week. This represented a resilient rental market throughout COVID-19.
2-bedroom houses have provided investors with +18.8% rental growth annually, with a median rent of $490 per week.
Over the June 2020 Quarter, Tweed Coast¥ recorded a vacancy rate of 2.5%, above that of Tweed Shire LGA (1.5%) but well below Sydney Metro (3.8%). Vacancy rates in Tweed Coast¥ remain well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, even amidst COVID-19 conditions. This confirms there is still a healthy rental demand and investors can be confident of conducive investment environment in Tweed Coast.