Gold Coast Property Market: A Surge in Prices and Population Growth

Hi, Andrew Bell here.

Last week, Nerida Conisbee, Ray White’s Chief Economist and the most quoted economist in the media, and I shared a market update across various media outlets. While we covered a wide range of topics, what grabbed the headlines was the Gold Coast’s average property price, which has reached $1,170,000—making it the second most expensive in Australia. With the city on track to match Sydney’s current average of $1,700,000, research suggests that the Gold Coast could reach this figure by 2027.

Over the past 12 months, house prices on the Gold Coast have risen by 9%, outpacing the national average of 8.5%. This growth reflects the ongoing migration to the Gold Coast, with 19,170 new arrivals by June 30th, 2023. Our population now exceeds 700,000 and is projected to reach 1 million by 2037.

While the Gold Coast was once seen as a more affordable option, today it’s recognized as a top-tier city offering an outstanding quality of life, frequently ranked among the world’s best cities to live in. Post-pandemic, people are increasingly prioritizing lifestyle, choosing not only better homes but also locations where they can enjoy daily life—and the Gold Coast continues to meet that demand.

Two major factors are driving up property prices. First, there’s been an influx of wealth from southern states, as homeowners from cities like Sydney and Melbourne sell their properties and invest in prime Gold Coast locations. From Coolangatta to Calypso Bay and up to Tamborine Mountain, lifestyle-property options have expanded. The downside, however, is the persistent shortage of housing due to limited construction. Many builders have gone into liquidation, leaving those still in business struggling to compete with government projects for skilled labor. Subcontractors and laborers are being drawn to government contracts offering job security and higher pay.

Although the spotlight has been on the upper end of the market, where 56 properties sold for over $5,000,000 in the last year, this has created a ripple effect across all price ranges. However, median prices can be misleading. A spike in high-end sales or a drop in lower-end sales can skew the median, but it remains a popular metric in the media for tracking the market.

In upcoming editions, I’ll have more regular discussions with our Chief Economist to keep you updated on the latest research as we move toward 2025 and beyond.

Spring has come early this year, with summer-like weather and an active real estate market. While buyer interest remains strong, we’re seeing some resistance to higher prices, with buyers becoming more selective in their choices.