Noosa Today - 18th July 2019

Page 17

Behind the desk BY DAVID GARWOOD

What’s the market doing?....

We get asked this all the time – there is so much conflicting information out there, and it is easy to read it incorrectly. Firstly, which market are we talking about? Is it the affordable housing in Tewantin, the holiday units in Noosaville, the luxury and prestige housing in Sunshine, Noosa Waters and Noosa Sound? All have different drivers and do not necessarily move in synch, and as we have seen the local markets are definitely not in synch with Sydney and Melbourne. There are of course correlations and influences on all segments, and today with so much economic manipulation there can be a sharp change. I remember from school economics the theory of elasticity of demand, where a decrease in sales of one product can be inversely related to another – the classic example was in a downturn sales of fillet steak would go down and sausages went up ( not necessarily true today with gourmet sausages at $14 a kilo!). When I started in this industry in the late 80’s there was a 6 month lag on the Noosa market behind the southern capitals, and that could be still be argued today. When the Sydney market adjusted down last year our top end was still firing and carried on for months – the move of southern money to“more for your money” here. It became harder to move mid-priced property – days on market lengthening, vendor discounting increasing, but the sausage theory worked, with many buyers opting for less risky price points. There are people buying Noosa area property who have so much money, from industries and businesses that did not exist a decade ago, that frankly the price is almost irrelevant to them. Certainly we defied state and national trends to some degree over the past year or two.“Lies, damn lies and statistics” – depending on how you interpret these past 2 years stats you get two different answers. There was considerable disagreement a few months ago over the REIQ figures – the stats are collated quarterly, and then summated annually. My granny used to say “one swallow doesn’t make a summer” – it is easy to look at one event and declare it as a trend. Latest Corelogic RPData (and REIQ) figures show Noosa as the standout over the last 2 years for growth, but although over a 12 month period the area grew, the December 2018 quarter fell 8.2% and the March quarter fell 4.7%. Is this a swallow or a trend?? Certainly post-election and with all the economic manipulation we are ANECDOTALLY seeing the reverse trend already (with some lag) – initially listings increased, days on market connectedly lengthened, and now buyers are showing more interest, so the outlook looks good! All we need now is the banks to front up for action with the serviceability %age decreasing from 7% to +2.5% over the market rate, and approve more loans!

Garwoods sales: 1st July to 15th July 2019: $2,220,000

Probably the last chance in this area for this type of property. Has been in the same family for over 50 years, but its time to pass the baton. •฀ Solid฀ existing฀ home฀ -฀ years฀ of฀ life฀ left฀ if฀ required •฀Develop฀immediately฀or฀hold •฀Lot฀reconiguration฀will฀give฀you฀Sydney฀St฀ frontage •฀Water฀views฀from฀both฀lots

Highly desirable area, fantastic home alternative or renovator. Two bedrooms plus an extra large room with built ins, so this home could easily be converted into a 3 bedroom residence! •฀ Walk฀ to฀ Noosa฀ Junction฀ shops฀ and฀ restaurants, cafes and bars •฀Holiday฀period฀free฀bus฀to฀Hastings฀Street฀ and main beach •฀Inground฀sparkling฀pool฀in฀the฀grounds •฀The฀main฀bedroom฀is฀upstairs฀with฀ensuite฀ •฀ Paved฀ rear฀ private฀ courtyard฀ is฀ an฀ added฀ bonus

Perfect investment for airbnb or weekend escape. Top floor unit with high ceilings, fully furnished with the potential to earn an excellent income in the most lively part of Noosaville •฀On฀the฀river฀and฀next฀to฀the฀restaurants฀ and cafes or enjoy a glass of wine and watch the sun setting •฀Arguably฀the฀best฀position฀on฀Gympie฀ Terrace •฀Residential฀complex,฀no฀onsite฀managers,฀ small complex of 8, security parking, pool with lovely gardens •฀Two฀spacious฀bedrooms,฀main฀with฀ensuite •฀Separate฀large฀main฀bathroom/laundry฀ with bath

48-50 HILTON TERRACE TEWANTIN

$550,000 15/2 BANKSIA AVENUE, NOOSA HEADS

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$1,090,000

LD

Fantastic opportunity - opposite Noosa River

LD

Location! Location! Location!

LD

Development site - house + land, on 2 titles

$580,000 7/213 GYMPIE TERRACE, NOOSAVILLE

Market on the move – more listings needed Contact: David Garwood 0411 862 954 or Theodora Garwood 0408 710 373

Shop฀2/6฀Mary฀Street,฀NooSaville฀•฀5455฀6942

www.garwoodsestateagents.com 12422846-LB30-19


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