The Gold Coast is morphing into an investor’s hotspot again with new data showing investor activity is surging.
REA Group this week revealed investor inquiry in the Glitter Strip was up 19 per cent on year on year to April 2022.
The data shows Surfers Paradise, Southport, Broadbeach, Labrador and Pimpama are the most inquired investor suburbs for the Coast.
It comes after a lull in investor activity throughout the city during the height of the Covid pandemic.
Harcourts Coastal agent Katrina Keegan sells property in Surfers Paradise and said she was experiencing huge demand from investors.
“Twelve months ago there was a lot of fear in buying an investment property in Surfers Paradise,” Ms Keegan said.
“A lot of interstate buyers had the equity to buy here but it was the fear of the unknown during Covid – there were so many different market predictions.
“Now, it’s just mental. Everyone wants real estate here.
“It’s like you’re not anyone unless you’ve got a Gold Coast investment property.”
She said a lot of investors were now choosing to sell, not to exit the Gold Coast property market, but to upgrade their investment.
“Sellers are even more motivated to sell because they want to upgrade, they’ve had a one-bedroom apartment but now they want a two-bedrom apartment.”
The data revealed the most popular suburbs for investors looking for houses are in the booming northern corridor – they include Pimpama, Upper Coomera, Coomera, Ormeau and Ashmore.
For units, however, investors are looking to secure beachside real estate in Surfers Paradise, Southport, Broadbeach, Labrador and Palm Beach.
REIQ Gold Coast chairman Andrew Henderson said it was only a matter of time before investors returned.
“Given how many investors exited the market, it was a given to see the cycle swing back to them,” he said.
“Investors are seeing rent increases which has made it viable for them to be back in the marketplace.
“There also isn’t the same amount of competition for properties that they were seeing this time last year.”
Rose and Jones director and buyers’ agent Oliver Dunstan shared a similar view.
“Investors are firmly back in the market,” Mr Dunstan said.
“There’s far less competition than recent years and the historically low vacancy rates, likely to continue or worsen due to the forecasted population growth, are attractive.”
“For investors wondering where to put their capital for the medium to long term, the Gold Coast, Northern NSW, Brisbane and parts of the Sunshine Coast areas are, in my view, the best in the country due to the surging population and accompanying infrastructure projects brought on by this and the upcoming 2032 Olympics.
“I don’t think anywhere else will offer the same medium-long term growth potential, coupled with the consistent four per cent plus returns we are seeing and achieving for clients.”
Originally Published by the Urban Developer 13th May 2022