Noosa Market Report - May 2010

 What a beautiful winter we are having in Noosa with mild clear days, the tourists should be here now, to make the most of Australia's premier resort town, not waiting till the busy periods.

May is traditionally a slow month for real estate sales in Noosa, this year most activity has been in the lower end of the market again.

Sales continue to be buoyant in the $400,000 to $700,000 range.

Most of the activity is around residential housing and holiday apartments with most buyers purchasing for personal use.

The town is quite empty at present which is being reflected in holiday rental occupancies, which are lower this year. It seems it is just too affordable to travel overseas on our buoyant dollar.

This does affect real estate sales as people delay their trip here. Permanent rentals are telling the same tale, with an abundance of permanent rental properties available and prices lowering to secure tenants.

The 2 biggest resorts to be built in Noosa in recent time's The Viridian, managed by Outrigger Resorts and The Sanctuary, managed by Mirvac have now been completed. Mirvac are offering one nights stay in a new apartment at $90.00 per night, we expect the Viridian will follow suit as soon as they open. These 2 large resorts are really knocking the letting about offering those rates, there sales aren't going so well though, both developments have an enormous amount of stock left and the feed back from valuers, valuing the existing off plan sales isn't great, we are waiting to hear if many fall over on settlement.

It's the time to buy here, at present there are some great positions becoming available and many owners are upgrading to better locations, selling and purchasing in the same market which ensures they really are not disadvantaged by lower property values, in fact the capital gains tax is less on sale and the stamp duty lower on the purchase.

These owners are positioning themselves for the upswing in the market even if it takes a little while yet.

Kind regards,

Dan Neylan
 Director
 0412 764 370