It might not be the race that stops a nation, but there’s a Melbourne Cup of sorts under way in the Queensland housing market.
Ten suburbs are competing for a place in the exclusive million-dollar club and the bookies say they’re a safe bet for capital growth, with some locations tipped to increase in value by $400,000 in just 15 months.
First out of the barriers is the Gold Coast suburb of Miami, which is tipped to cross the $1 million finish line in just over a year as demand for property there hits a cracking pace.
New figures from Realestate.com.au reveal the suburb’s median home price of $870,000 is on track to reach $1.02 million by 2022 if the current rate of quarterly growth continues.
On the Sunshine Coast, Mooloolaba is galloping towards a median home price of $1.17 million by 2022.
And in Brisbane, the median price in the Redlands suburb of Thorneside — $630,000 — is set to almost double if growth continues at its current pace.
The data is based on quarterly property price growth in each suburb, with a minimum of 20 sales in the past 12 months.
Realestate.com.au chief economist Nerida Conisbee said the Sunshine Coast and the southern suburbs on the Gold Coast had been attracting huge demand since the onset of COVID-19.
”There’s a really strong line from the southern Gold Coast to the mid NSW coast,” Ms Conisbee said.
“It was already doing well before COVID, but since then, everything has been shooting up in value.
“If you look at the areas that have seen a jump in views (online), it’s very much regional areas attached to capital cities (like the Sunshine Coast and Gold Coast.”
Ms Conisbee said suburbs close to water and with bigger homes on bigger blocks were tipped to record strong capital growth in the coming year.
“These are areas which have seen strong growth since COVID, and if they did well during the worst recession in our lifetime, that’s pretty incredible, so once we get out of recession, they have the potential to see even bigger jumps in value,” she said.
Nick and Carly O’Shea have just sold their home in Tarragindi, which is tipped to break through the $1 million median price barrier in 15 months.
Mr O’Shea, who is the director of family builders O’Shea & Sons, sees so much potential in the suburb that he built two houses in addition to his own in the same street and has just bought a block of land 700m away.
He plans to build another family home on the site to accommodate his growing family of three sons, and a sibling on the way.
“We built the current house to live in, but we’ve kind of outgrown it,” Mr O’Shea said.
“We’re needing a bit more space to let the boys breathe a bit.”
Mr O’Shea said he was not surprised home prices in Tarragindi were rising so quickly.
“It’s such a beautiful, leafy suburb with so many great opportunities for families,” he said.
“Our kids go to school at St Elizabeth’s down the road and there’s lots of parks, cafes, and bushwalks.
“We build all over Brisbane, and from where we are located, I get anywhere within 10 to 15 minutes”
The fact the suburb is exempt from character overlay rules also makes it popular among families looking to knock down and rebuild.
“It’s always been a good, steady growth suburb, but I think people are now starting to realise much more the attributes of the suburb,” Mr O’Shea said.
“I can definitely see the value in building here.
“The ability to do a knockdown rebuild is very easy in comparison to other character suburbs.
“We do a lot of modern Queenslanders and Hamptons-style builds.”
THE QLD SUBURBS RACING TO A MEDIAN PRICE OF $1 MILLION
Suburb Postcode Median price Median price
(12 mths) (15 mths if QoQ growth continues)
Miami 4220 $870,000 $1,024,796
Mooloolaba 4557 $920,000 $1,173,914
Thorneside 4158 $630,000 $1,037,309
Sherwood 4075 $947,500 $1,059,796
Moffat Beach 4551 $945,000 $1,295,532
Wongawallan 4210 $915,000 $1,262,356
Bokarina 4575 $899,000 $1,082,043
Tarragindi 4121 $865,000 $1,031,281
Mount Ommaney 4074 $862,000 $1,042,743
Benowa 4217 $885,000 $1,024,039