Waterfront Properties Rallying Against Odds
Coastal areas have had their fair share of trouble of late, but now they are showing signs of resurgence, writes Tim Lawless for the Property Update.
Optimism on both sides
Vendors are buoyed up and it shows in higher number of property listings. On the other hand, higher number of actual sales reflects on buyer optimism. It is safe to say that two of the most prominent markets, namely Sunshine Coast and Gold Coast, are on their path to a long recovery.
Detached housing doing well
Lawless rightly asserts that the prices are nowhere near the peak period but they have certainly gained on the figures they had posted last year. A noteworthy trend is surfacing ever so steadily- while the median house prices are on an upward curve, the median unit prices are still languishing to an extent.
Unit sales still below par
Lawless contests that this is attributable to rampant unit constructions before the GFC. Oversupply may have led to low demand. Also, few of the more reputed unit settlements suffered major losses thus creating prejudice towards them in the minds of buyers.
Amidst distressed unit sales, market for detached houses along the coastal areas has picked some really good momentum and this should augur well for the Australian real estate.
You can read the original article here.
Waterfront properties have a few battles on their hand
I am not too sure how this may pan out. Waterfront properties have come under some serious threat for various reasons. Chances of submersion are running high in areas; Port Fairy is just one instance among many where as many as 270 homes are under the threat of complete inundation.
Things are not likely to improve too much because tectonic beds have moved in a way that portends further fault developments in land plates. All this may result in even higher water levels.
Local councils not too approving
Some of the local city councils have already talked about banning housing developments in water-laden areas, going to the extent of asking homeowners to demolish their houses beforehand.
Times as they are, coastal regions will have to buck these trends to prosper. This being said, they are still going to rally strongly because their fundamentals are in the right place.
Why do you think overseas investors are choosing urban areas before beach areas- their traditional home hunting zones?