November 2024 brought some fascinating trends and insights into the Townsville property market, especially for investors eyeing the Rosslea area (postcode 4812). Here’s a detailed look at this month’s statistics and what they mean for the market.
Key Market Highlights for November 2024
- Vacancy Rates:
- Rosslea reported an impressively low vacancy rate of 0.6%, significantly under the North Queensland average of 0.9%.
- Rental Market Stats:
- Implied rental yield: 5%
- Asking rent: Approximately $500/week – lower than Cairns, highlighting Townsville’s value proposition for renters.
- Interestingly, asking rents for houses decreased:
- Monthly decline: 4.1%
- Rolling quarter decline: 6.3%
- Sales Market Trends:
- Asking sale prices for houses:
- Monthly increase: 0.4%
- Rolling quarter increase: A notable 11.5%.
- Asking sale prices for houses:
- Land Market:
- Land shortages: Land with reasonable title timeframes is scarce, and demand is outpacing supply. Developers report that lots are often sold out within days of release – land listed on Friday is almost fully allocated by Monday.
- Building Activity:
- Builders in Townsville remain exceptionally busy, indicating sustained demand for new housing stock.
Investment Insights for November 2024
November has highlighted a dichotomy in Australia’s broader investment landscape:
- Challenges for Investors:
- High interest rates, tenancy reforms, and increased property taxes – particularly in Victoria – have led to a wave of investor exits from the market.
- Investor Loans on the Rise:
- Despite the challenges, investor loans increased by 18.8% year-on-year, suggesting a dynamic shift in investor behavior.
Market Shifts in Focus:
- A regional redistribution of investment:
- Investors are moving away from Victoria and, to a lesser extent, New South Wales, favoring Queensland and Western Australia for better opportunities.
- Rise of owner-occupiers:
- Properties sold by investors, particularly in Victoria, are increasingly being purchased by owner-occupiers. This trend will likely exacerbate rental shortages, creating additional upward pressure on rents in areas like Townsville.
What Does This Mean for You?
November 2024’s stats confirm that Townsville is a red-hot market. The combination of low vacancy rates, increasing sale prices, and high demand for land underscores the urgency to act quickly if you’re considering entering this market.
With land selling out in days and rental yields remaining strong, there are clear opportunities for investors and buyers alike. However, the current environment requires savvy strategies to navigate the challenges and make the most of the potential rewards.
Get Expert Guidance
Whether you’re buying, selling, or considering your next steps, now is the time to take action. Let’s chat!
📞 Register a discovery call on the Property Friends website today and explore how we can help you achieve your property investment goals.
Remember, you’ve got to be in it to win it!
