Market opens as Gladstone sellers drop prices to force sale

VENDORS are dropping the price on houses an average of 9.1% to force a sale, according to Real State Institute of Queensland's latest report.

The average "vendor discount" is up from 8.1% last year.

It means there's a prime opportunity for first-home buyers to enter the market with a discount. 

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The report, released today, says Gladstone is "one of the most challenged markets in Queensland", with houses taking an average of 79 days on the market before being sold, up from 70 days last year.

"The resources downturn has hit the area hard," the report states.

"Local agents and property managers report they are continuing to have difficult conversations with investors and vendors, who are struggling to adjust to the steadily slipping prices."

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The median price of houses after 74 transactions in the June quarter was $331,250, a drop of 6.7 per cent from the last quarter.

The report states that "focused attention" from the State Government, expected to bring a number of large-scale projects, may turn around the market's fortunes.

Projects | 

- An oil refinery plant that will recycle waste products

- The start  of the State Government's regional Back To Work jobs program in Gladstone

- Gladstone's welcoming of cruise ships, bringing thousands of tourists to the region

- A new $17 million marine terminal to be built on Gladstone Ports Corporation land that will create 100 jobs and ferry passengers, materials and equipment to Curtis Island, supporting  GLNG and QCLNG operations

More than 1500 (1513) houses are listed for sale on Gladstone's property market, 6.9% of housing stock, which is down from 7.6% last year.

About 6.5% of Gladstone's units are for sale, with 250 on the market, which is also marginally down from 251 last year.

But Gladstone's units are on the market much longer, with vendors waiting an average of 117 days to sell, up from 68 days.