$1.32m and rising: Gold Coast home prices closing in on Sydney

Home prices on the Gold Coast are closing in on Sydney, with values surging almost 9 per cent in the past year – more than twice the pace of the market leader.

The latest PropTrack Home Price Index, out Monday, found the Gold Coast median house price was now $1.32m – the only regional market in the country where prices outstrip its capital.

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The Gold Coast is the only market in Australia whose state capital city is cheaper to buy in.

This as Sydney’s median house price hit $1.581m in the latest figures, growing at a slower pace of 3.8 per cent per annum.

REA Group senior economist Eleanor Creagh said “Gold Coast is the only market in Australia where the capital has a cheaper median than a regional centre”.

“The median value of houses in the Gold Coast, at $1.32m, is really starting to close in on Sydney.”

“The Gold Coast is continuing to see strong home price growth, kind of in tandem with the broader southeast Queensland market. It’s very much a continuation of the trend we’ve seen over the past few years.”

“You’ve got lifestyle, demand, hybrid work, flexibility, infrastructure investment ahead of the upcoming Olympic Games. There have been a lot of factors really underpinning demand on the Gold Coast.”

There was a slight glimmer of hope for those struggling to keep pace with rising prices.

“We are starting to see that the pace of growth is slowing somewhat, but I would characterise that as more of a normalisation, rather than an indicator that prices are going to fall anytime soon.”

“Certainly with interest rates having fallen this year and sentiments having improved, it’s likely the prices in the Gold Coast are going to continue lifting in the months ahead.”

REA Group senior economist Eleanor Creagh

This as the data showed Brisbane home prices surged $86,000 in the past year – the biggest single rise of all Aussie capitals – up 9.6 per cent annually to reach $936,000 for all dwellings (including houses and units) and a powerful testament to the Queensland capital’s resilience.

Regional Queensland set an even hotter pace with a 9.9 per cent rise – seeing medians rise by $75,000 to $738,000 – with a shocking four of its SA4 regions topping national charts off huge double digit growth in the past year.

Townsville led the nation with its 17.6pc surge to $569,000, followed by Mackay–Isaac–Whitsunday which hit a 14.7pc rise to $565,000, Central Queensland increased 14.3pc to $547,000 and Toowoomba (west of Brisbane) was up 14.1pc to $697,000. Their closest regional rival in the rest of the country was the South East of South Australia that saw a 13.9pc increase to $525,000.

Australia has now seen eight consecutive months of growth with home prices hitting a new high nationally and records tumbling across the country as the property juggernaut shows no real sign of a slowdown.

Ms Creagh said the market upswing was being fuelled by interest rate cuts, improved buyer sentiment and stronger borrowing capacity.

She said regional Queensland was firmly in the spotlight for investors and other buyers now.

“As we enter spring, the housing market appears poised for another leg higher, albeit strengthening in some capitals while normalising in others.”

For Brisbane, this means that while growth may be moderating slightly off its blistering pace set since the pandemic, the city remains a powerful force in the housing market.

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