WHITSUNDAY
MARKET UPDATE Whitsundays showcased at the Sydney Boat Show AUGUST 2014
230 Shute Harbour Rd, Cannonvale ~ Phone: 07 4946 2000 ~ Email: vip@prdwhitsunday.com.au ~ Web: www.prdwhitsunday.com.au
On the subject of celebrating success and results (which is one of our company’s core values) our monthly award winners are:
OVER the past month, a number of marketing initiatives have been implemented here at PRD to open the marketplace past the traditional local catchment. Our team went to the Sydney Boat Show for four days and showcased our wonderful Port of Airlie development to the Australian boating community. While you would expect interest to be high in marina berths (and it was, including a sale occurring at the show) interest was also received for both the absolute waterfront land known as The Cove and the final release of the apartments in the Boathouse (again with an apartment and a berth selling at the show). As part of the four days, the annual 4802 research (displayed here on pages 2 and 3) was released at a private function on the harbour, including the national property journalists. As you will see further in, the message is strong, sales volumes are up, days on market down and prices moving – we billed the night as Australia’s next real estate hot spot and the research underwrites this statement. Also during the month, an eight-page color magazines was delivered to 10,000 waterfront homes in Sydney. People who made enquiries were astounded that you could invest in an apartment with magnificent sea views from $235,000 or a waterfront block of land for $445,000 – again just expanding your access to buyers. Our sales office in Airlie Beach has now facilitated three sales to holiday-makers in town who have all said they weren’t looking for investments but the story displayed in the office provided a compelling reason that now is the time to invest. While our projects are prominently displayed, our traditional properties for sale, such as houses and apartments, are also available through the office and these sellers benefit from the extra exposure and buyer interest. Two of the above sales were made by our new salespeople (although already well established in the real estate industry in other departments) being their first sales, which is a special moment for them. Dawn Romanella and Rachel Forster both sold a Reflections apartment and on the subject of first sales our Michael Hanisch also made his, being a small development site at Whitsunday Bay.
A big congratulations to the above and to all of our team in an exceptionally strong July. The cross section of award winners above is another example of how teamwork at PRD achieves the best results for our customers. From a sales perspective, even though you are listing with our business and in particular a salesperson who you have established rapport with – our entire sales team is involved. Our process is: a) Listing appointment between seller and salesperson b) Entire sales team inspection – ensuring buyers who are working with other salespeople are involved c) Strategy meeting – entire sales team – identifying what is unique about your property, which of the seven target markets will be interested and how we can cost effectively contact these target markets d) Listing written on whiteboard for team to monitor progress daily e) Email your property details/brochure to all local salespeople to enable them to be part of the sales team solution on a conjunctional basis f) Strategy and review meetings on a regular basis between salesperson, owner and Christie Leet The acrynom TEAM – Together Everyone Achieves More is never more important than when marketing your property. This is PRD’s commitment to you.
Celebrating their first property sales are, from left, Rachel Forster, Michael Hanisch, and Dawn Romanella.
Recognised for their efforts in July are award winners, from left, (back) Brad Sobott, Rob Taylor, Simon Dymmott, John Harris, (front) Carinda Ivens and Lorna Serfontein.
Top property manager – Lorna Serfontein Top auction lister – Brad Sobott Top lister – John Harris Person who lives our values – Michael Hanisch Person who follows our systems the best – Carinda Ivens Top sales person (settled) – Rob Taylor Top sales person (sold) – Simon Dymmott
Rising sales confirmed THE 2013/2014 research has been completed by PRDnationwide’s research department for the Whitsunday Coast and the data confirms our market commentary during the year that sales volumes are on the rise and that, in turn, is leading to growth in prices. Before looking at our local market, let’s take a closer look at the macro environment affecting the market: A) Consumer confidence in the last quarter has again trended above the equilibrium line. Consumers are more optimistic than pessimistic. This is a large factor in our market, which for the southern holiday-maker is a discretionary spend and much more justified when optimistic
As the availability of stock or properties for sale diminishes, the days properties for sale spend on the market reduces dramatically, down 416 per cent - again from just over 150 days to just over 50 days for both houses and apartments. The median sale price for apartments has remained steady at $265,000 over the last couple of years, in our view
representing a section of the market that is set for capital growth shortly in line with the movement of other sections of the market here locally. Apartments in Cannonvale yield 6.1 per cent (making the holding costs very affordable while waiting for capital growth in the market) and houses return a healthy 5 per cent.
Airlie Beach House Sales & Growth
B) Unemployment fell sharply in the last quarter - more jobs means more cash in the economy C) More than 10,000 net people migrated to Queensland for the quarter D) Home loan affordability in Queensland is above the national average and the Whitsundays is more affordable again due to our lower median sale price
Airlie Beach
The house graph shows upward price movement of 10 per cent to a median price of $740,000. While Airlie Beach is our upper end suburb and 70 per cent more expensive than our area’s next suburb (Cannonvale) it still represents tremendous value when compared to dress circle suburbs in Brisbane, Sydney and Melbourne. The big movement, like most suburbs, is the amount of time/days needed for a property to sell. In the second quarter of 2014 this has dropped from 150 days to 60 days for both houses and apartments. Units in Airlie that have a current median price of $370,500 return 5.2 per cent to the investor. Houses return 3.5 per cent.
Cannonvale
Consecutive quarters of sales volume growth have again led to price growth in Cannonvale, with the median price for houses moving up 9.8 per cent to $460,000 (apartments are $265,000).
Cannonvale House Sales & Growth
Quarterly figures on the local suburbs
Jubilee Pocket House Sales & Growth
Jubilee Pocket
Our third suburb, Jubilee Pocket, has also been a sound performer, with the median price increasing by a solid 4.4 per cent to $402,000. When compared with Cannonvale (at $460,000) and Airlie Beach ($740,000), this represents excellent opportunity for capital growth potential. Units have also seen solid sales volumes and the median price is $270,000. Days on market have come down considerably to just over 50 for houses and approximately 90 for apartments. Units are yielding 5.8 per cent and houses 5.7 per cent with median rentals of $300 and $443 respectively.
Cannon Valley House Sales & Growth
Cannon Valley
The acreage market in Cannon Valley remains somewhat fluctual in terms of sales volumes but price has spiked upward to record a median price of $571,000. With the second highest median price, one would reasonably expect the yield to be softer than average but a solid 4.3 per cent has been recorded.
Proserpine
The Proserpine market has been experiencing sales volume decline since 2003, with only one real spike in 2012. The median price has increased by 8.8 per cent to $351,000. However, our view is that this has been caused by a higher concentration of more expensive home sales as opposed to growth across the market. The bright news for Proserpine though is the value it does represent to buyers and investors being located just 15 minutes drive from our coast yet having a median price some $110,000 lower than the median price at Camnonvale. Apartments yielded 5.1 per cent and houses 5.2 per cent, making Proserpine the only suburb where yields are stronger in the housing investment market than the apartment market.
Proserpine House Sales & Growth
Friendly Auction System 6pm Monday August 25 PRDnationwide, Cannonvale
40 Tropic Road Brad Sobott Sales Agent M: 0411 236 507 E: bradsobott@prd.com.au
3 bed, 1 bath, 1 car
29 Kingfisher Terrace 4 bed, 3 bath, 2 car
Cannonvale
3 bed, 2 bath, 2 car
Rob Taylor Sales Agent M: 0428 466 124 E: roberttaylor@prd.com.au
12 Begley Street
Cannonvale
Jubilee Pocket
4 Links Drive
Airlie Beach
3 bed, 2 bath, 2 car
John Harris Sales Agent M: 0412 832 910 E: johnharris@prd.com.au
1406 Kunapipi Road
Casey Carmichael Sales Agent M: 0421 283 703 E: caseycarmichael@prd.com.au
Laguna Quays 2 bed, 2 bath, 1 car
John Harris Sales Agent M: 0412 832 910 E: johnharris@prd.com.au
AUCTION 10am on-site Sat, Sept 6
7 Passage Avenue Shute Harbour 4 bed, 3 bath, 2 car
29 Warrain Street Brad Sobott Sales Agent M: 0411 236 507 E: bradsobott@prd.com.au
Shute Harbour 3 bed, 2 bath, 2 car
Rob Taylor Sales Agent M: 0428 466 124 E: roberttaylor@prd.com.au