Sunshine Coast

The Smartline Report – July Edition

The month in review: Sunshine Coast

By Herron Todd White
July 2015

As always, the question of where to park a lazy $500,000 remains somewhat challenging. This is especially so given that the early and easy capital growth for housing has passed us by.

The beach side area properties that provide a modest home with a higher value land component would still be a good pick. You will just have to be pretty selective and also be prepared for a long term hold as the gains are not likely to be so easily won over the next 12 months. The main reason we think that this product is appealing is that there are little to no new beachside estates in the pipeline so these properties will not be easy to replicate.

The other option we believe has some legs is the rural residential markets in and surrounding the hinterland townships. The market has yet to recover and remains fairly soft and there is an ability to purchase these properties at below replacement cost which has to hold you in good stead in the future. The future upside magnifies if you can afford to get into the $700,000 to $800,000 range where you really do get a lot of home for your money.

Units in small complexes with low body corporates and near to beaches (typically built in the 1980s) still look good value below $300,000 and up to say $400,000 for the refurbished ones, though this market has been picked over in the best areas such as Alexandra Headland and Cotton Tree.

www.smartline.com.au

Please note that information in this publication is subject to change without notice. Smartline assumes no responsibility for any errors, omissions or mistakes in this document. © Smartline Home Loans P/L 1999 – 2015. Australian Credit Licence Number 385325

 

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