Blow up, glow up: The $12bn transformation of Qld suburbs

Courier-Mail

15-06-2025

Once affordable Queensland suburbs are undergoing a $12.6 billion residential glow up, going from daggy to dreamy as older houses make way for modern marvels.
Drab post-war homes and rundown Queenslanders are either being knocked down or extensively renovated, with architecturally-designed residences rising in new suburbs as the wealth belt continues to tighten across the state.
The latest HIA Queensland Outlook for Autumn revealed that continued high demand for houses in the Sunshine State fuelled renovations to the tune of $12.6 billion last year.
'Council approvals for renovations in Queensland increased by 8.3 per cent in 2024, while lending for renovations increased by 13 per cent in the year to March 2025,' the report revealed.
'Total renovations investment in Queensland is expected to moderate at very high levels, driven by larger-scale work that require financing and approval.
'Queensland also has a disproportionately and relatively larger renovation market than its dwelling stock.
'The value of renovation investment in Queensland in 2024 was $12.6 billion, only $70 million lower than Victoria.'
The report noted that Victoria has 700,000 more existing dwellings than Queensland, which only has 2.27 million homes.
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Further, it was revealed that the average value of a owner-occupier renovation loan in Queensland was $208,950 in the March quarter, up from $171,160 at the same time last year.
'The value of approvals for alterations and additions in Queensland has reached new highs in the last few quarters, most recently sitting almost two-thirds above its decade average,' the report said.
'In chain volume terms, the value of renovation approvals in the 2024 calendar year has increased by 6.2 per cent to $2.9 billion.
'The number of loans issued for renovations has also increased in the 12 months to March 2025, up by 13.0 per cent to 11,220.'
And those renovations are playing out right across the state.
In Redcliffe, a seaside suburb once seen as the poor cousin of the Gold Coast and Sunshine Coast, a 'triumph' by internationally acclaimed architect Nicholas Elias has been listed for sale, with top offers closing on July 1.
The striking home is a far cry from the post-war home that stood in its place.
Place New Farm agent Heath Williams, who is marketing the showstopper, said many of the high-spec new builds were popping up in suburbs where the land value was less prohibitive.
He said many were also in areas not subject to character overlays.
'The suburbs closer to the city have land values that are too high and then you have to deal with remedial works which can open up a can of worms,' Mr Williams said.
'You wouldn't expect to see the calibre of some of these new builds in certain suburbs but every time values go up, that pushes buyers further out.'
Meanwhile, in family-friendly Wavell Heights, the median house price has more than doubled in a decade, with the average home now selling for $1.209 million, up from $536,000.
And there is no shortage of new builds and reimagined homes coming to life.
Queensland Sotheby's International Realty agent Tyson Clarke has a brand new Hampton's-style residence for sale at 10 Calga Street in Wavell Heights.
It replaced a post war cottage on a 746sq m block.
'People who did renovations a decade, now things like The Block have made renos trendy fashion statements,' Mr Clarke said.
'Buyers today want to move in and do nothing. They want it done, even if it costs them more at sale.'
Mr Clarke said that many of the suburbs undergoing residential rejuvenation were also suburbs that had been held for decades.
And once one sells, others tended to follow suit.
'There is a kind of changing of the guard in some of these suburbs,' he said.
'In Calga Street, for example, there are four houses that have been knocked down and rebuilt and at least another two starting on the renovation phase.
'I don't know that it is so much about stock, but rather about timing. Their needs have changed.'
Mr Clarke added that the so-called 'rings' had moved out, as prices increased closer to the city.
'What was once a fringe ring is now inner-city,' he said.
'If you look at Wavell Heights, prior to January 2023, no properties sold over $3 million.
'Now high $2 million to low $3 million is the norm and we are seeing movement out to places like Virginia.
'What is also interesting is that the people who bought early in the inner and middel rings have seen huge equity growth, and they are moving closer in and going up a price bracket.'
In Tarragindi, a solid brick house was knocked down to make way for a luxurious new home.
But it is not just the overcooked Brisbane market where old is making way for new.
In East Toowoomba, a recently completed Marc & Co designed masterpiece has replaced a tired 1950s home, while a resort-style residence with a pool and gazebo has replaced a tackle shing shop and high-set house in Tewantin on the Sunshine Coast.
Up north, a Railway Estate house in Townsville has been extensively renovated and is now listed for offers over $699,000, while a classic 1935 Queenslander in the Cairns suburb of Manoora has been restored to its former glory.
But the number of detached house approvals fell by 7.4 per cent in the March quarter across the state, according to the latest building approvals data from the Australian Bureau of Statistics (ABS).
The biggest falls were recorded in Central Queensland (-48.7 per cent), followed by Gold Coast (-23.9 per cent), Downs & Western (-22.6 per cent), Greater Brisbane (-12.2 per cent), and Far North Queensland (-7.5 per cent), while the Sunshine Coast experienced a minor drop at -1.4 per cent over the quarter.
North Queensland was the standout performer posting a massive 32.3 per cent gain, while small gains were also recorded Wide Bay Burnett (+4.6 per cent) and Mackay/Whitsunday (+3.8 per cent).
'Relatively affordable land and housing and rapid population growth – from both overseas and interstate – has catapulted Queensland out of the trough caused by higher interest rates,' HIA North Queensland executive director Peter Fry said.
'North Queensland in particular has seen building approvals surge in the last year, including increases of 50.8 per cent in Mackay-Isaac-Whitsunday (+102.1 per cent in Mackay alone), +49.1 per cent in Central Queensland (+83.8 per cent in Gladstone, +35.3 per cent in Rockhampton) and +29.1 per cent in Townsville – North Queensland.
'Cairns and Far North is the main North Queensland region that is yet to see this kind of improvement, with building approvals up by just 0.7 per cent in the last year. Infrastructure bottlenecks are standing in the way of the next major wave of home building in Cairns.