Cairns housing market rises as a clear regional beacon
The Cairns housing market is clearly on the rise and continues to significantly outperform all other major central and north Queensland regions.
Cairns reported a median house price of $425,000 over the June quarter which was an increase of 1.7 per cent over the quarter with prices having increased by 2.4 per cent this year so far.
The Cairns median house price has now increased by 6.3 percent over the past year with house prices higher by 19.7 per cent over the past 5 years – the only major central and northern Queensland regional market to have recorded a significant increase in prices over that period.
Cairns unit prices are also rising again following a lengthy period of subdued activity. The median unit price increased by 3.3 percent over the June quarter to $255,000 – a rise of 6.7 percent over the past year.
A significant driver of the Cairns housing market is the resurgence of the local economy which is a clear central and north regional leader. The Cairns local area ABS March quarter jobless rate has fallen from 7.4 percent to 6.7 percent over the past year with an increase of 1,685 jobs.
Latest ABS June data for the wider Cairns region has revealed that the jobless rate has fallen to 4.9 per cent over the past year with an extra 11,232 jobs and a record level participation rate of 64.6 per cent – again significantly higher than June last year.
With a strongly growing economy, rising buyer and seller confidence, and the prospect of cashed-up southern state buyers looking to get a foothold in one of Australia’s premium lifestyle markets at a still affordable price – Cairns house and unit prices are set for continued solid growth for the remainder of the year.
Dr Andrew Wilson is Domain Group Chief Economist Twitter@DocAndrewWilson join on LinkedIn and Facebook at MyHousingMarket.
