Media release - 20^th February 2012

Leading east coast holiday property markets enjoy strong summer bounce says Raine & Horne

Enquiries and sales doubled in Port Douglas since February 2011
Surfers Paradise enjoyed best summer selling season in four years, with sales volumes up 30% since February 2011
In Narooma, on the NSW far south coast, there were twice as many home sales in January 2012 compared to the same month in 2011.

The summer of 2011/12 has been very good to some of Australia’s much-loved coastal locations, according to leading real estate group, Raine & Horne, with buyer enquiries and property sales more than double those achieved by some markets in February 2011.

In Port Douglas, for example, David Cotton, Co-Principal, Raine & Horne Port Douglas, reports that enquiries and sales have almost doubled since February 2011

The leading Port Douglas agent, who estimates that around 90% of Port Douglas’ permanent residents are holidaymakers, who fell in love with the town’s coastal charms, maintains the combination of value and the excellent local climate have proven major attractions for buyers.

“It’s possible to secure a three bedroom, two bathroom apartment in Port Douglas from $235,000, while we’ve had sunny day after sunny day with very limited wet days, which has helped showcase our town at its very best,” said Mr Cotton.

“Buyers can either secure a home to live in permanently, or grab a holiday property, which doubles as a second home.”

He adds, “There are also many people from Sydney and Melbourne who buy holiday homes in Port Douglas to escape the southern winter.

“Port Douglas is also popular with sea changers, the fly-in/fly-out brigade from the mining sector, as well as those people who can operate SME businesses from home.”

A number of industry reports released in February 2012 have suggested Gold Coast investors should expect stronger market conditions soon.

In reality, the wheels already appear to be turning for one of Australia’s favourite holiday hotspots, according to Clark Brackenridge, Principal, Raine & Horne Surfers Paradise.

“We’ve enjoyed the best summer selling season in about four years,” said Mr Brackenridge.

“While prices have stabilised, the gap between sellers and buyers expectations is narrowing significantly, and this is generating improved sales volumes by as much as 30% compared to the same time last year.”

Mr Brackenridge acknowledged that $500,000 is proving the resistance point for investors.

“Activity is price related and properties under $500,000 are attracting plenty of buyer interest,” added, Mr Brackenridge, who confirmed that buyer enquiries and groups at open for inspections are up around 20% since February 2011,” he added.

To illustrate this point, Raine & Horne Surfers Paradise recently sold a two bedroom apartment in the Circle on Cavill, apartment complex, located at the corner Ferny Avenue & Cavill Avenue, Surfers Paradise, for $430,000.

“About 30 groups inspected the property prior to sale,” said Mr Brackenridge. “There is liquidity in the Gold Coast property markets and buyers are returning, which is great news for homeowners.”

The real estate market on the far south coast of NSW has also enjoyed a robust holiday season, with Brian Hastie, Principal of Raine & Horne Narooma, reporting that there were twice as many sales in January 2012 as the same month last year.

“The majority of buyers were investors from Canberra, who are looking for a long-term property for their self-managed superannuation funds that can also potentially double as a retirement option,” says Mr Hastie.

“For Canberra-based green-changers, Narooma is relatively untouched, while it’s an easy three hour drive to the ACT and their family and friends.

“Narooma is also well served by the airports at Moruya and Merimbula, which provide retirees with access to Sydney and Melbourne,” adds Mr Hastie.

On the NSW Central Coast, Ingrid Souter, Principal of Raine & Horne Killcare Beach, said that as at the end of January 2012, Raine & Horne Killcare Beach, had negotiated the sale of a number of homes to holidaymakers, including a three bedroom home at Manly View Road, Killcare Heights with views for $699,000, and a four bedroom home, also in Manly View Road, which sold for $740,000.

“Given the Central Coast’s proximity to Sydney we have clientele who purchase weekenders in our area, and then choose to spend a few days in Sydney and the remainder of the week in Killcare,” said Ms Souter.

“Killcare Beach is bordered by Bouddi National Park and people traditionally come here for the beaches and natural beauty of the peninsula, they fall in love with the relaxed coastal lifestyle and friendly village atmosphere of Hardys Bay and then come back to purchase.”

-ENDS-

For further media information contact:

Kit Bashford, National Marketing & Communications Manager on 02 9258 5400.

Leading east coast holiday property markets enjoy strong summer bounce, says Raine & Horne