Coffs Harbour Property Market Update 2nd Half of 2022
In Q3 2022, Coffs Harbour, recorded a median house price of $810,000. This is annual (Q3 2021 –Q3 2022) 9.5% median house price growth. That said, on a quarter-by-quarter basis (Q2 2022 – Q3 2022), median house price softened by -4.1%. This is a reflection of interest rate hikes translating into the market. Total houses sales decreased annually and quarterly, with Q3 2022 recording the lowest number of sales (223 sales). The unit market recorded a median price softening annually (-3.8%) and quarterly (-4.7%), whilst also recording lower number of sales. There are now new opportunities for first home buyers.
Average vendor discounts between Q3 2021 and Q3 2022 have rapidly swung to a discount for both property types, of -3.7% for houses and -4.7% for units. Market conditions in Coffs Harbour have now shifted to favour buyers, as vendors are willing to offer below the initial listing price. Q3 2022 average vendor discounts were the highest seen in the past 12 months
In September 2022, house rental yields in Coffs Harbour were recorded at 4.0%, higher than Sydney Metro (2.6%). In the 12 months to Q3 2022, median house rental price increased 9.1% to reach $600 per week. In this time the number of houses rented declined by -11.9% and average days to let remained the at 20 days. Overall, this represents a resilient rental market in Coffs Harbour, which has a more affordable investment entry price compared to Sydney Metro.
3-bedroom houses have provided investors with +8.3% rental growth annually, achieving a median rent of $585 per week.
Coffs Harbour recorded a vacancy rate of 1.0% in September 2022, which is slightly below Sydney Metro’s 1.3% average. Vacancy rates in Coffs Harbour have slightly fluctuated in the past 12 months but have remained within the 1.0% rate band. This suggests high rental demand and quicker occupancy. These key indicators create a conducive and sustainable environment for investors, particularly with the latest median house price downturn between Q2 2022 – Q3 2022.
