Palm Beach Property Market Update 2nd Half 2024
Palm Beach in Queensland offers stunning coastal views with easy access to pristine beaches, perfect for a relaxed lifestyle. Its vibrant community, coupled with excellent schools and amenities, makes it an ideal place for families.
Property Trends
In Q2 2024, Palm Beach recorded a median house price of $1,762,500 and a median unit price of $945,000. This represents annual (Q2 2023 – Q2 2024) growth of 11.6% for houses and 6.5% for units. Comparing Q2 2023 and Q2 2024, total sales decreased by -9.1% (to 40 sales in Q2 2024) for houses and by -2.9% for units (to 99 sales in Q2 2024), indicating an undersupply for both property types. This creates a buffer against current cash rate hikes and resulted in price growth. This price growth makes it an opportune time for property owners to capitalize on their investments.
Project Development
Palm Beach will see approximately $245.0M of new projects commencing construction in the 2nd half of 2024. All residential projects planned will only add units, townhouses and land lots (which takes time to develop). The absence of new ready-to-sell stand-alone dwellings will further push up house prices.
Rental Market & Growth
House rental yields in Palm Beach were 3.9% as of June 2024, higher than Gold Coast Main (3.5%) and Brisbane Metro (3.4%). This was attributed to a significant 26.3% surge in median house rental prices over the past 12 months, more than double the 11.6% growth in median house sale prices. In Q2 2024, the median house rental price reached $1,250 per week, with the number of houses rented increasing by 2.2% (to 47 rentals in Q2 2024). The unit market showed the same pattern, confirming there is a high rental demand for both property types. This suggests an appealing market to investors.
Vacancy Rates & Property Investment
Palm Beach recorded a vacancy rate of 2.0% in June 2024, above the Gold Coast City LGA average (1.7%) and Brisbane Metro (1.1%). Vacancy rates in Palm Beach saw a slight increase in the past 12 months, due to investors returning to the market. However, 2.0% is still well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, suggesting quicker occupancy of rental properties. This confirms there is a conducive investment environment in Palm Beach, even with higher median sale prices in Q2 2024.
