Covid Buyers Cash In on Regional Price Growth
April 8 2022
With property prices across regional Australia rising by more than 30 per cent since March 2020, Covid buyers are perfectly poised to cash in for multi-million dollar returns.
Prestige property in regional seaside locations is proving particularly profitable, as steady first quarter price growth bucks the slowdown being seen across most capital cities.
Agents on Queensland’s Gold Coast report a rise in Covid resales, with price gains of 40 per cent and more being achieved.
A two-level beachside apartment overlooking the ocean in Miami sold for $8,125,000 at a well attended auction onsite at 4/142 Marine Parade last Sunday.
Six bidders – two from interstate and four locals – registered for a paddle, with competitive bidding up to the $8,000,000 mark leaving two bidders battling it out for the keys.
The winning bid came from a NSW buyer who intends to use the 458m2 four bedder with rooftop terrace as a second residence.
The sale price established a new benchmark for the Marine Parade strip, and marked a tidy gain of $2,375,000 for the vendor who purchased well in October 2020 for $5,750,000.
“At a time when the majority of buyers across the country were quite cautious, those who were bold enough to take the leap have done well,” says Kollosche agent Eoghan Murphy, who led the Miami penthouse campaign alongside Michael Kollosche.
Eoghan and Michael also teamed up last month to auction a renovated single-level residence in Burleigh Waters, picked up in October 2020 for $775,000.
The property, which was transformed by the owners in an unusual Venetian plaster finish, sold under the hammer for $2,713,888 to a 26-year-old Melbourne buyer.
The Gold Coast market had so far held its steam well into the new year, with the Miami auction result indicative of the ongoing demand for premium real estate.
“What gives me confidence in the current market outlook is not only the sale price on this property, but the level and quality of buyers we had at auction bidding competitively up to $8 million,” says Eoghan.
Regional Australia continues to record a substantially higher rate of growth than the capital cities over the three months to February, according to CoreLogic.
Housing values across the combined rest-of–state regions increased at more than three times the speed of housing values across the combined capital cities; 5.7 per cent and 1.8 per cent respectively.
The iconic Burleigh Surf Penthouse, at 31I/238 The Esplanade, Miami fetched $5,000,000 on 21 March, sold to a Melbourne developer who flew to the Gold Coast the day after the auction to seal a deal through Kollosche’s Matt Lanyon and Rob Lamb.
Duncan and Claire Dai are marketing the Rivage Royale penthouse, a tri-level sky home on Brighton Parade in Southport boasting 865m2 and panoramic city views.
A newly-renovated beachfront penthouse at 3/57 Albatross Avenue, Mermaid Beach is open for inspection on Saturday 9 April at 10.30am, ahead of the Sunday 24 April auction led by Michael Kollosche and Harry Kakavas.