Beaches, hot weather major drawcards as Wide Bay sees greatest growth in property prices in Australia

While rising, Jake Chappel says the Bundaberg housing market still has good “bang for buck”. (ABC Wide Bay: Grace Whiteside)

As property prices soar across Queensland, one coastal region is experiencing the largest growth in Australia.

Property prices in the Wide Bay region which includes Bundaberg, Hervey Bay, and Maryborough have jumped between 65-75 per cent in the past five years, according to the latest CoreLogic report.

Property analyst Simon Pressley said the Wide Bay had an “incredibly exciting set of ingredients”.

“The cost of housing combined with lifestyle is definitely a major drawcard for someone looking to relocate from a big, congested city such as Sydney and Melbourne,” he said.

“[Plus] I’d argue the best weather in the country.

“It’s an economic story. It’s a lifestyle story. And it’s a shortage of housing supply story.”

What is the drawcard?

Locals think the boom is down to the region’s beaches, good weather, and big backyards.

Bundaberg builder Jake Chappel experienced the growth at work, and on a personal level, after putting two houses on the market in recent years.

“It was nice being on the selling side,” he said.

“I feel sorry for some of these younger people coming through, buying now. But I don’t think [prices are] slowing down.

“I think initially it was probably cheap land and cheap properties.

“The climate is always good. It’s bit hot at the moment. But usually it’s pretty liveable, pretty comfortable.

“We’ve got great beaches, the people are great, and prices are still well-priced in comparison to the [Gold and Sunshine] coasts and Brisbane.”

Major market growth

The CoreLogic report showed Bundaberg had the greatest growth in all of Australia with property values soaring almost 75 per cent over the past five years to a median value of almost $480,000.

Hervey Bay had experienced an increase of more than 67 per cent to more than $615,000, and Maryborough had seen an almost 66 per cent jump to almost $395,000.

The Sunshine Coast took top spot out of regional Queensland for the highest median value at more than $965,000, overtaking the Gold Coast region which is sitting at more than $928,000.

The head of research at CoreLogic, Tim Lawless, said Queensland’s strong population growth was helping to fuel the high prices.

“Generally, when we see housing values rising, it’s a simple mismatch between supply and demand,” he said.

“Most of that is being driven by a combination of interstate migration, so more people coming into Queensland from NSW and Victoria in particular.

“Also, we’re still seeing an ongoing trend of internal migration rates where more people are, say, looking for regional housing or being driven to the regions because either jobs growth or housing might be more affordable.”

But Mr Lawless said high property prices were not good news for all.

“Anybody who owns a home has seen quite a decent level of equity being built up across the market,” he said.

“But the flip side, of course, is that affordability for those that don’t own a home is becoming more and more challenging.

“Household incomes haven’t risen anywhere near that level.”

‘Prepared to pay a premium’

Veteran Gold Coast real estate agent David Hamilton said he was not shocked by the data.

He has seen those numbers reflected in his work and cannot see the market slowing down any time soon.

“The big jump was in the COVID years. It’s going to just keep going up,” Mr Hamilton said.

He believes an increase in the number of interstate arrivals cashing in on the Gold Coast market was only putting more pressure on the already tight market.

“We’re no different to Byron Bay, the Sutherland Shire, or the eastern suburbs of Sydney,” Mr Hamilton said.

“People want to live here, to be able to walk to the beach, and they’re prepared to pay a premium [for that].”

Cost of living: Ask us a question or share your story

If you’re unable to load the form, click here.