Strong Demand, No Rate Cuts & Sunshine Coast Still Sizzling

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Strong Demand, No Rate Cuts & Sunshine Coast Still Sizzling

By Leigh Martinuzzi | Martinuzzi Property Group – eXp Australia

The Sunshine Coast property market continues to defy expectations. In this latest Sunshine Coast property market update, we explore why strong buyer demand, low listings, and stable interest rates are keeping property values firm. With no further rate cuts expected in 2025, buyers, sellers, and investors need to be informed and ready to act.

Economic Trends Supporting the Market

Cotality’s research reveals that despite interest rates remaining high, borrowers have more purchasing power. The average household’s affordable purchase price has increased by around $65,000 over the past year. This rise is due to higher savings, increased incomes, and stronger deposit positions. In contrast, national dwelling values rose by about $43,000 over the same period.

At the same time, the number of new listings has fallen short of demand. There were around 140,000 sales nationally in the past quarter, but only 125,000 new listings. That imbalance continues to support strong property prices.

Comparing the Sunshine Coast and Gold Coast

On the Gold Coast, data from Matusik shows median house prices sitting at $1.12 million and unit values at around $775,000. Some lifestyle-focused unit segments have grown by more than 25 percent over the past year. Those trends are being driven by strong migration, infrastructure development, and very limited housing supply.

The Sunshine Coast property market is experiencing similar conditions, although still offering a slightly lower entry point. However, that gap is closing.

Local Sales Activity and Affordability Trends

In Palmwoods, a 3-bedroom, 2-bathroom home at 6/47 Lingara Avenue recently sold for $799,999. A larger and more modern home at 4 Benkalu Court sold for $942,000. In Bli Bli, a 3-bedroom home on 790m² at 1 Osprey Street sold for $935,000. These results show that properties under $900,000 in these areas are becoming harder to find. Buyers may need to consider homes that require renovations or are on smaller blocks.

Coastal units are also rising in value. A 2-bedroom, 2-bathroom apartment at 3090/36 Browning Boulevard, Battery Hill, recently sold for $647,500. Meanwhile, a 3-bedroom unit at 1/5 Carrothool Place in Mooloolaba sold for $922,000, and a 2-bedroom unit in Buddina achieved $830,000. While $650,000 may still get you into the coastal unit market, options are limited and often outside premium areas.

Tight Listings and Strong Rental Market

There are currently just over 3,000 properties for sale across the Sunshine Coast. Historically, we would expect to see between 5,000 and 6,000 listings. This lower supply is driving competition among buyers and helping sellers achieve solid results.

Rental conditions remain tight. Vacancy rates sit around 1 percent, and rents have continued to grow at 6 to 7 percent annually. These conditions are attracting investor interest, especially in low-maintenance properties in high-demand suburbs.

What This Means for Buyers, Sellers, and Investors

If you are a buyer, now is the time to be ready. This Sunshine Coast property market update shows that rate cuts are off the table for the foreseeable future, and the market is already responding to the current conditions. Having your finance pre-approved and being ready to act will give you a clear edge.

For sellers, low stock levels mean well-presented properties are performing strongly. If you are considering listing, it may be worth acting now or preparing for an early 2026 launch.

Investors continue to see strong opportunities. Low vacancy, rising rents, and growing demand make the Sunshine Coast a solid long-term option. Focus on properties that appeal to tenants and offer good access to schools, shops, or transport.

Final Thoughts and More Insights

If you want to dive deeper, visit the Martinuzzi blog at martinuzzi.com.au/blog. We cover suburb comparisons, buyer tips, and rental market trends that will help you stay informed.

If you’re planning your next move or just weighing up your options, I am here to help. Let’s chat.

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