According to a Courier Mail article, there is less than 800 apartments for sale in high rise buildings stretching across the Gold Coast. With sales rates at their lowest since the 1990’s, some 47 sales per quarter, it is estimated current stock on the market will take at least five years to absorb. This doesn’t include new stock coming onto the market from three major projects nearing completion including Soul, Hilton and H20.
Property researcher Bill Morris said “While the rate of sale can change there is something like five or six years worth of stock.”
Despite the current oversupply of apartments vs demand, Andrew Bell from Ray White Surfers Paradise Group’s warned that there is no new developments planned for coming years saying “New stock entering the market is non-existent, There will simply be no choice for buyers on the Gold Coast over the minimum of the next five years.”
The lack of pent up demand on the Gold Coast, along with the chronic oversupply of apartments is thought to put a future ceiling on prices.
» Coast apartment sales falling flat – Courier Mail, 4th February 2011.