Rental demand on the rise in Cairns region
Demand for rental properties has risen in Cairns with reduced vacancy rates across the region and Queensland and median house sale prices have fallen in the same period, according to two separate reports.
The Real Estate Institute of Queensland (REIQ) released the March residential vacancy rates on April 30 that showed Cairns rental vacancies have dropped by 1.3 per cent since this time last year.
REIQ Cairns chairman Greg Clyde-Smith described the property market as “reasonably healthy”.
“Cairns has quite a different economy from the rest of the state but the figures revealed are not that different – from 3.8 (per cent) last year to 2.5 per cent this year, it’s a substantial drop,” Mr Clyde-Smith said.
“We are showing signs of growth as tourism is slowly starting to recover.”
Mr Clyde-Smith said sales were also quite lively although property prices aren’t very high and he forecasted that if the economy recovers as well as expected it will bring more jobs to the region, which will put more pressure on the rental market.
“There has also been an increase in inquiries for investment properties and we are hopeful the interest rate changes from the reserve bank yesterday (May 1) will enhance sales,” he said.
An RP Data report to January 2012 said median sales prices of houses in the region had dropped.
At Clifton Beach median sales prices were down by 20 per cent in a year (23 sales) and 15.6 per cent in a quarter, while rental yields in the same area increased by 5.6 per cent.
At Holloways Beach the median house price per quarter dropped by 12.2 per cent (-33.6 per cent in a year with 14 sales) while rental yields increased by 8.1 per cent.
RE/MAX Real Estate Services owner Tony Williamson described the rental market as “amazing”.
“All the best properties are going fast,” he said.
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On the move: The rental market in the Far North is showing signs of improving.