Noosa remains a buyers’ market, but future growth in the coastal town’s property prices will be underpinned by continued population growth, infrastructure investment and strong domestic tourism, according to Colliers International
Colliers International residential director Andrew Scriven said while there is still “good opportunity” to buy in the coastal market at the moment, prices will rise in the “not too distant future”.
Mr Scriven said a 20 to 30 per cent correction from 2007 prices meant those with capital and foresight could secure a quality property at an attractive price.
“The correction in prices is excellent news for prospective buyers, but it is also important to remember that current prices are still significantly higher than they were 10 years ago,” he said.
“This is because Noosa is underpinned by all the fundamentals that drive a property market north.
“Population growth continues to be a major factor, with the population increasing by an average 2.9 per cent, or 9000 people, over the past five years, well above the Queensland average of 2.5 per cent.
“With limited developable land in Noosa, this continued strong growth will put a floor under property prices in the future.”
Mr Scriven said new developable land in Noosa was in short supply, with 35 per cent of the catchment dedicated to national, state and conservation parks.
“There are very few new development sites anywhere near the heart of Noosa,” he said.
“In fact, Elysium Noosa, which was acquired by AVJennings in late 2010, is one of the few new communities moving forward in the current market.”
Mr Scriven said Noosa received more than 1.8 million visitors each year, which injected almost $800 million into the local economy.
“Domestic visitors are at an all-time high in Noosa, increasing by a significant 15.85 per cent to 943,000 per annum from June 2010,” he said.
“This strong visitation, due to Noosa’s universal appeal as a holiday destination, will inevitably translate to increasing interest and demand for property in the area.”