Tannum Sands Property Market Update 2nd Half of 2023
In Q2 2023, Tannum Sands recorded a median house price of $440,000, and a median unit price of $355,000. This represents annual (Q3 2022 – Q3 2023) softening of -8.1% for houses and -2.3% for units. Sales decreased between Q3 2022 – Q3 2023, by -32.5% (to 54 sales) for houses and by -14.3% for units (to 12 sales). On a quarterly basis (Q2 2023 – Q3 2023) median house price softened, by -7.8%, indicative of successive cash rate hikes translating into the market. Although there are less listings available, a softer house price creates new opportunities for first home buyers looking to enter the market.
Average vendor discounts between Q3 2022 and Q3 2023 continue to favour buyers for both property types, with higher discounts of -2.9% for houses and -5.2% for units. Q3 2023 recorded the highest average vendor discount for units to date, thus now is the time for unit buyers to enter the market.
House rental yields in Tannum Sands was 5.6% in September 2023, much higher than Brisbane Metro (3.6%), however with a lower entry price. This was paired with a 2.1% increase in median house rental price in the past 12 months to Q3 2023, along with a 2.2% increase in the number of houses rented (to 47 rentals). The unit rental market displays the same pattern, suggesting a highly demanded rental market.
3 bedroom houses have provided investors with +10.0% rental growth annually, achieving a median rent of $440 per week.
Tannum Sands recorded a vacancy rate of 1.3% in September 2023, slightly above Brisbane Metro’s 1.0% average. Vacancy rates in Tannum Sands have fluctuated in the past 12 months, due to cash rate hikes impacting investors either entering or exiting the market. That said a 1.3% vacancy rate is still very low and suggest a quicker rental occupancy. This creates a conducive environment for investors, especially with a softer median house price in the past quarter.
