If anyone knows the Cairns Real Estate Market it is veteran Realtor and Ray White Cairns Central Principal, Angela Capitanio.
“The one thing I get asked all the time is – what is the real estate market going to do this year?”Angelo Capitanio
The question is a difficult one, even for a seasoned professional like Angela as the market can be unpredictable and based on trends and forecasts in major cities.
“Most of the information on the property market that we hear and read about revolves around Sydney and Melbourne where there are large populations and more buyers competing for properties. This has, until recently, driven the housing market in those cities to achieve incredible growth.”
For Cairns though, the results have been very different with the region experiencing a down turn for much of the past decade.
“While the market has remained stable in a period of decline I do believe we are now poised to reverse the situation. We are seeing more activity now, with several cranes in the sky and the completion of the first of one of the major projects on the Cairns Esplanade. This has had substantial positive effect on confidence levels in the market place.”
Angela says a good indication of what real estate is going to do can be seen in the development within the region. While newer buildings in the city centre have been geared toward the tourism market rather than the residential market the effect has been positive and given the local economy a much needed boost.
“We are fortunate to have a very active developer who has seen the opportunities Cairns has to offer and has taken advantage of the situation. This has created employment opportunities, property affordability and favourable economic conditions which will contribute to growth in the Cairns real estate market.”
Despite a decade of little growth, opportunities still exist for those willing to invest with a view toward long term returns.
“One thing I can’t do is change the market,” says Angela. “We simply learn to work within it and make the most of the opportunities that present themselves. At present there are a number of great buys within Cairns of quality, well presented units priced in the low $100k’s which are perfect for investors.”
The key to taking advantage of these properties when they become available is being well prepared. Angela suggests potential buyers speak with a financial advisor and real estate professional early on to ensure they are ready to make a move when the right property becomes available.
“Astute investors watch and study market conditions and seasonal fluctuations and are ready to act before the market starts to move upwards. There is no emotional buying with investors, because their interest is in returns. Duplexes are popular because they offer dual income without body corporate levies and rent very well.”
While median house prices in Cairns trail it’s capital city of Brisbane considerably, 2019 should see the start of a shift toward a stronger and more confident market. Property website realestate.com.au reported the Chamber of Commerce and Industry Queensland research found that along with major developments in the region, Cairns’ unemployment rate was below average – a great indicator for economic health.
With the market on the verge of an upward shift the inventory of available properties is expected to grow giving buyers more choice.
“At the moment we are seeing buyers from down south buying sight unseen. They can recognise the potential and are willing to invest money in a region where they can see growth. An upward spike will put Cairns on the map along with tourism infrastructure,” says Angela.
For those asking the million dollar question of ‘what will the property market do in 2019’, the outlook is positive and will boost confidence in a market that has displayed little of that in recent time.