Why Gold Coast suburbs are prime property for investors

THE Gold Coast is one of the best cities to invest in Queensland, new research reveals.
Fourteen of the city’s suburbs make Queensland’s top 20 list with Tugun crowned the best in the state and third across the country.
The research was commissioned by Well Money which identified the top 20 investment-grade suburbs in Queensland where buyers have a negotiating advantage.
Fourteen Gold Coast suburbs made the top 20.
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Currumbin Waters (houses) came in second while Reedy Creek (houses) and Mudgeeraba (houses) ranked sixth and seventh.
Other suburbs in the top 20 included Broadbeach (units), Mermaid Beach (units) and Burleigh Heads (units).
The unit markets at Palm Beach and Tugun also made the list as well as the housing markets in, Parkwood, Pacific Pines, Highland Park and Hollywell.
The Gold Coast is one of the best cities to invest in Queensland. Picture: Brendan Radke
The research filtered out suburbs that weren’t investment-grade, where demand had not been falling and where prices had not increased by at least 70 per cent over the past decade.
That left a list of suburbs where conditions were starting to favour buyers.
Well Money CEO Scott Spencer said some investors were sitting on the sidelines amid uncertainty over interest rates and inflation, so the research wanted to identify locations where they could buy with confidence.
“Every one of these 20 suburbs has enjoyed a net price gain of at least 86 per cent over the past decade,” he said.
“Furthermore, they all have a vacancy rate under 1.5 per cent.
Tugun was named the best to invest in Queensland. Picture Mike Batterham
“So the data suggests these are locations that would be easy for investors to rent out right now and would probably enjoy strong capital growth over the long-term.”
“Also, these are suburbs where investors have a negotiating advantage right now, for a
couple of reasons.
“First, demand has been falling in these locations.
“Second, if investors reacted by offering a 10 per cent discount, they’d know vendors would probably be able to accept because they’d be surrendering only a small share of the considerable profit they’d made over the past decade.
Tugun is worth considering as possible locations in which to invest according to WELL Money. Picture Mike Batterham
“It’s important for investors to carefully examine their financial position before taking action, because it’s risky to buy if you’re not confident you could repay a mortgage if interest rates were to continue to rise.
“For those investors who are financially secure, these 20 suburbs are worth considering as possible locations in which to invest.”
TOP 20 RANKING
Rank, Suburb, Postcode, Property type, 10-year gain
1. Tugun, 4224, House, 151%
2. Currumbin Waters, 4223, House, 151%
3. Twin Waters, 4564, House, 132%
4. Little Mountain, 4551, House, 107%
5. Meridan Plains, 4551, House, 107%
6. Reedy Creek, 4227, House, 106%
7. Mudgeeraba, 4213, House, 106%
8. Broadbeach, 4218, Unit, 96%
9. Mermaid Beach, 4218, Unit, 96%
10. Burleigh Heads, 4220, Unit, 96%
11. Palm Beach, 4221 Unit, 93%
12. Tugun, 4224, Unit, 93%
13. Buderim, 4556, House, 92%
14. Sippy Downs, 4556, House, 92%
15. Parkwood, 4214, House, 90%
16. Pacific Pines, 4211, House, 88%
17. Highland Park, 4211 House, 88%
18. Banyo, 4014, House, 87%
19. Boondall, 4034, House, 87%
20. Hollywell, 4216, House, 86%

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