Tannum Sands Market Update 2nd Half 2024
In Q3 2024, TannumSands* recorded a median house price of $530,000, and a median unit price of $330,000.This represents annual (Q3 2023 –Q3 2024)growth of 15.2% forhouses, indicating an opportune time for owners tocapitalize ontheir investments. Conversely, unit median price softened by -7.0%, presenting a window for buyers to enter the market. Comparing Q3 2023and Q3 2024,total sales grew by 13.7%for houses (to 83 sales) and surged by 60.0% for units (to 24sales). This confirms an active market with robust demand forboth property types. With no new houses planned, the likelihood of further price growth is high.
HOUSE SALES YEAR HALF YEAR CHANGE FROM LAST
HOUSE MEDIAN PRICE
HOUSE RENTAL PRICE
SALES
TannumSands£ will see approximately $181.9Mofnewprojectscommencing constructionin2024
PRICE
RENTAL PRICE
MEDIAN PRICE Q3 2024
$530K $330K
MEDIAN PRICE Q3 2024
AVERAGE DAYS ON MARKET Q3 2024
25
AVERAGE
A key commercial project is Flinders Village. Spread across 5.3ha, it will have 100 two- and three-bedroom retirement living villas, a 104-bed residential aged care facility and community facilities. Stage 1civils works is due for completion in 2024.
Another key project in 2024is the State Government’s Gladstone Training Centre And Transmission Hub project, which will construct a mixed-use development to comprise 2warehouses & ancillary office, a 2storey training centre and workshop.
Other key projects include:
• Lots 1& 3-5 Red Rover & Lots 2& 3 Meegan Roads Industrial Stages 15 Subdivision ($7.8M,Industrial)
• KFCFast Food Outlet Clinton ($4.0M, Commercial)
• 6-8 Warne Street Industrial Sheds Stages 1 & 2($1.8M, Mixed-Use)
Todate, there are no new residential projects planned for construction in 2024. Thus,there is an absence of new units, townhouses, stand-alone houses. With higher demand an undersupply is possible in 2025,which will result in higher property prices.
AVERAGE VENDOR DISCOUNT*
Average vendor discount reflects the average percentage difference between the first list price and final sold price. A lower percentage difference (closer to 0.0%) suggests that buyers are willing to purchase close to the first asking price of a property.
Average vendor discounts between Q3 2023and Q3 2024 have swung to a premium of 3.7% for houses and 0.2% for units. The peak discount period have passed (in Q3 2023). Market conditions in TannumSands* have shifted to favoursellers, as buyers now must offer higher thanthe first listed price. This signals an opportune time for owners to sell, and with no new housing stock planned, for buyers to act fast – before the premium increases further.
The suburb of Tannum Sands has outperformed the wider Gladstone Local Government Area (LGA) in house price for the past 5 years, and on par with unit median price. This continued in 2024#,with both the suburb and the LGA experiencing price movements in the same direction.
Most of the homes sold in TannumSands* in 2024# were in the middle-priced bracket of $450,000to $550,000 (37.5%). On the other hand, most of the units sold were in the premium price bracket of $400,000and above (49.1%). The most affordable market is still anoption, with 2.9% of houses sold at less than $349,999and 13.2%of units sold at less than $249,999.However, the more affordable price brackets are shrinking. Thus,buyers need toact fast.
MARKET COMPARISON
The market comparison graph provides a comparative trend forthe median price of houses and units over the past 5 years. The main LGA profiled is chosen based on the proximity tothe main suburb analysed, which is
PRICE BREAKDOWN 2024#
UNITS SOLD HOUSES SOLD
than $249,999
to $299,999
to $349,999
to $399,999
and above
TannumSands.
Tannum Sands (4680) House
Gladstone LGA House
Tannum Sands (4680) Unit
Gladstone LGA Unit
RENTAL GROWTH 2024€
House rental yields in TannumSands¥ was 5.1% in September, well above Brisbane Metro (3.2%). This was paired with an 8.7% increase in median rent price in the past 12 months to Q3 2024, at$500 per week. The number of houses rented decreased by -8.2%, to 256 rentals in Q3 2024. Similarly, median unit rent price rose by 11.1%to $400,and the number of units rented decreased, by -16.5% to 111 units in Q3 2024. This suggests an undersupplied rental market.
2-bedroom houses have provided investors with +24.2%rental growth annually, achieving a median rent of $410per week.
TannumSands¥ recorded a vacancy rate of 1.0%in September 2024, above Gladstone LGA’s 0.5% but below Brisbane Metro’s 1.1%average. Vacancy rates in TannumSands¥ have declined in the past 12months signalling a tighter rental market. Further, a 1.0%vacancy rate is well below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, indicating quicker rental occupancyin TannumSands¥. This suggests a conducive environment forinvestors, especially those looking for a more affordable option than Brisbane Metro.
RENTAL VACANCY RATES 2024
Tannum Sands (4680)
Gladstone LGA Brisbane Metro
REIA 'Healthy' Benchmark
PROJECT DEVELOPMENT MAP 2024 ₳
TANNUM SANDS
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REFERENCES
* Tannum Sands sales market data and key indicators encapsulates aggregate property market conditions within the suburbs of Tannum Sands, Boyne Island and Turkey Beach.
** Estimated values are based on construction value provided by the relevant data authority and does not reflect commercial and/or re-sale value.
# 2024 encapsulates sales transactions for Q1 – Q3 2024 (01/01/2024 – 30/09/2024) only, other years encapsulates sales transactions for the full year (i.e 01/01 to 31/12 of the relevant year).
€ Annual rental growth is a comparison between Q3 2023 (01/07/2023 – 30/09/2023) and Q3 2024 (01/07/2024 – 30/09/2024) house median rent figures.
¥ Tannum Sands rental market data encapsulates aggregate property conditions within the postcode of 4680.
§ Rental yields shown are as reported as of September 2024.
₳ Project development map showcases a sample of upcoming projects only, due to accuracy of addresses provided by the data provider for geocoding purposes.
£ Projects refers to the top developments within the postcode of 4680.
µ Estimated value is the value of construction costs provided by relevant data authority, it does not reflect the project’s sale/commercial value.
ψ Commencement date quoted for each project is an approximate only, as provided by the relevant data authority, PRD does not hold any liability to the exact date.
Source: APM Pricefinder, Cordell Connect database, SQM Research, Esri ArcGIS.
Disclaimer: PRD does not give any warranty in relation to the accuracy of the information contained in this report. If you intend to rely upon the information contained herein, you must take note that the information, figures and projections have been provided by various sources and have not been verified by us. We have no belief one way or the other in relation to the accuracy of such information, figures and projections. PRD will not be liable for any loss or damage resulting from any statement, figure, calculation or any other information that you rely upon that is contained in the material.
Prepared by PRD Research. © All medians and volumes are calculated by PRD Research. Use with written permission only. All other responsibilities disclaimed. © Copyright PRD 2024.
