Cairns market report*
Property prices
Median
property prices for houses and land in Cairns have escalated over the
last three years, with the median house price trend cracking the
$400,000 mark, reaching $402,400 in January 2015. This represents a
trend rise of 6.5% over the latest 12 months. The median land price has
increased by an even higher 18.4% over the same period as a result of
land price escalation particularly on the Northern Beaches, to reach a
tentative $216,200 in January 2015. However median unit prices continue
to show a downward trend.
Property Sale Volumes
Property
sale volumes have been steadily increasing over the last three years,
with the December quarter 2014 sale volumes 48% higher than they were in
the December quarter of 2011. However growth in property sale volumes
is starting to taper as the amount of property for sale itself tapers.
The slowdown in growth is especially noticeable for houses, where
potential vendors are hanging off in the expectation of higher prices,
and for land where demand in parts of Cairns is outstripping production.
Rental Vacancies
Rental
vacancy rates remain at levels indicative of a tight rental supply.
Current rental vacancies appear to be rising mildly in trend terms for
houses, but are lowering for units and the market in general. The trend
vacancy rates for February 2015 stood at 2.4% for houses and 2.3% for
units. The market vacancy trend overall stood at 2.3%.
*Source: Herron Todd White March 2015
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