Cairns

The Smartline Report – March Edition

The month in review: Cairns

By Herron Todd White
March 2015

Interest rates aren’t a big determinant in the Cairns market. Though lower interest rates help, the prime influences on people’s buying confidence in Cairns are the state of the economy, affordability and job security. As the economy continues to slowly recover during the course of 2015, these will all contribute to driving property in Cairns over the next 12 months. We keep saying that the property market recovery to date has not been uniform across Cairns and here’s
the proof. Recovery to date has been strongest in the northern beaches where the median house price has risen 22.3% over the period from the December quarter of 2011 to the December quarter of 2014 and is now 8.7% above its 2007 to 2008 peak. At the other end of the scale, the median house price in the southern corridor has risen by only 7% over the same period and remains 5% short of its 2007 to 2008 peak. Median house prices in the other two areas of western and central Cairns have risen by 16.1% and 13.8% respectively and have both
moderately surpassed their 2007 to 2008 peaks.

We expect these trends to continue during the course of 2015, though with some intensification in the southern corridor as the ripple effects from the other areas flow through. Interest rate reductions will support this process, but by no means be the primal cause.

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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