Townsville punching above its weight in lifestyle stakes

News.com.au

2 days ago

Townsville has been named one of the country's top property markets for lifestyle and price growth potential, beating out all other Queensland regions.
Townsville was ranked No. 6 on the MCG Four-Pillar Lifestyle Index, while Southport, the only other Queensland region to make the list, came in at No. 9.
When the top 10 was ranked by price, Townsville was in first place with a median house price of $567,000.
The research, commissioned by MCG Quantity Surveyors using SuburbTrends data, analysed Australian markets using four key lifestyle factors of beach access, natural environment, urban amenities and family-friendliness, overlayed with long-run price metrics.
The ten 'all-rounder' regions in the Four-Pillar Lifestyle Index marry strong lifestyle appeal with some of Australia's most resilient price growth.
MCG Quantity Surveyors director Mike Mortlock said this was because markets with more consistent growth had lifestyle components baked in.
New South Wales dominated the 'all-rounder' list with Warringah, NSW, first, followed by Stirling, NSW, Wanneroo, WA, Wollongong, NSW, and Easter Suburbs – South, NSW.
Townsville was sixth, followed by Shoalhaven, NSW, Easter Suburbs – North, NSW, Southport, QLD, and Newcastle, NSW.
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Mr Mortlock said Townsville not only emerged as one of the best lifestyle locations in the country, it offered something rarely seen among the other markets that ranked highly – affordable prices.
'A lot of the areas nationally with the best lifestyle are expensive Sydney areas,' he said.
'And in some ways, it's understandable. They are expensive for a reason.
'Townsville offers a much more approachable price point, but it still scores well on all the same metrics.'
The report found Townsville was NQ's most balanced housing market, with a $567,000 median house price, reflecting an average 8 per cent annual gain over the past decade and a further 5 per cent lift in the past six months.
'Current values sit roughly 50 per cent above the level implied by the pre-2020 trajectory, underscoring a structural re-rating rather than a cyclical spike,' the report said.
'Lifestyle breadth explains the momentum.
'The palm-lined Strand delivers daily waterfront recreation, while Castle Hill, Jezzine Barracks and Riverway lagoons provide nature trails and shaded parklands.'
Jools Munro of Explore Property Munro & Co said buyers making the move to Townsville weren't only chasing bigger homes with smaller mortgages, but looking to regain hours in the day lost to long commutes and peak hour traffic.
'What you can buy in Brisbane for $800,000 you can buy in Townsville for $550,000 and you don't miss out on life in Townsville,' she said.
'Our community is very welcoming, but I also think our lifestyle is more affordable.
'The lifestyle isn't just about the ocean, it's also the bush and those little country towns 35 minutes away.
'But, yes, we also have the ocean, sailing, beautiful golf courses, barra farms and fresh lakes.
'I know people who talk about going to Maggie Island for three hours just to hop on the ferry and leave the mainland behind for less than the price of a steak.'
Ms Munro said people came to Townsville chasing affordability as they were priced out of southern markets, but stayed for the community.
'It's not hard to find your vibration, your tribe in Townsville, whether you want to participate in a choral society or an orchid society, whether you want to play lawn bowls, study at the university or take up dragon boat racing,' she said.
'Plus there is work for everybody. Employers are crying out for skilled, trade and professional workers.
'Large industries thrive because staff can get housing for a better price, without a long commute or flying in and out.'
Ms Munro said the tight property market, high demand and increasing population would ensure home prices continued to trend up.
'That shortage in the workforce is not allowing us to build the (housing) capacity we need,' she said.
Mr Mortlock said the Four-Pillar Lifestyle Index differed from the recent string of buyer's agents' reports swirling the internet.
He said many of these reports were shortsighted, uncovering 'spreadsheet darlings': locations that looked good on paper, but were not always sustainable places to own property over decades.
'These reports normally look at short-term, available data,' he said.
'This often gives a range of short-term predictors but they don't always indicate what a good long-term play will be.
'And, given the high costs of transacting in real estate, that's usually what a property purchase is, whether it's a home or an investment.
'It's a very long-term play.'
Mr Mortlock said the MCG report considered a range of metrics that had long-term, positive influences on property values, but were factors unlikely to be changed by short-term forces.
'We looked at factors that are always in demand,' he said.
'They're attributes that help markets outperform over the long haul.
'We know buyers will pay a premium to have them.'
Features sought out by home seekers year after year included easy access to beaches, amenities, jobs hubs and top schools.
'All the pillars we looked at were attributes that real estate agents have historically highlighted as the most pertinent points for homebuyers,' Mr Mortlock said.
MCG Four-Pillar Lifestyle Index
Rank SA3 zone Median price
1 Warringah (NSW) $2.56m
2 Stirling (WA) $1.07m
3 Wanneroo (WA) $760,000
4 Wollongong (NSW) $1.28m
5 Eastern Subs – South (NSW) $3m
6 Townsville (QLD) $570,000
7 Shoalhaven (NSW) $840,000
8 Eastern Subs – North (NSW) $3.75m
9 Southport (QLD) $1.14m
10 Newcastle (NSW) $960,000