New study sees best-case house prices go past $900k
GLADSTONE'S median house price could surge past $900,000 by 2018 if predictions from a local study come true.
This extraordinary result is a best-case scenario - dependent on a big population increase plus several construction projects going ahead in the region.
The Central Queensland University study was commissioned by Lyons Capital, the developer behind Tannum Sand's newest-approved housing estate The Sands.
But LJ Hooker Gladstone director Mark Spearing said this five-year outlook was dubious.
"That is pure speculation. The lower end (of $600,000) could be nearer to the truth but the possibility of a median price of $900,000 is unlikely," he said.
CQU economics professor John Rolfe delivered the study and said a population spike was likely.
"With $93 billion in approved projects and a further $34 billion in planned developments, the economic stimulus will increase Gladstone's population by up to 20,000 people by 2018, with its total population forecast to double by 2031," he said.
But he said a more moderate house price hike was likely.
"(Given) the Gladstone region's rapid growth... median house prices could increase to over $604,000 by 2018."
Currently, Gladstone's property market has slowed.
"There is currently an oversupply of property which has eased the prices somewhat. The housing crisis is no longer but there is still a lot of activity," Mr Spearing said.
Mr Spearing said there was a need in the high-range property market.
"We have sold several million-dollar homes but still have more higher-end buyers than available properties," he said.
Latest figures from the Real Estate Institute Queensland shows unit prices have plummeted in the 12 months up to March this year.
The current median house price for Gladstone's local government area is $305,000, down 15.6% on last year's median of $335,000.
Lyons Capital development manager Oliver Kent said the company did extensive research into areas before investing.
"We commissioned ... the study to confirm our feeling that Gladstone has a strong economic backbone with sound long-term growth credentials," he said.
Mr Kent said the report helped with staging The Sands development and working with investors.
GLADSTONE'S property price predictions might be heading towards the millions, but local Turtle Island is in a whole other ballpark.
Listed online for about $6.5 million, island salesman Richard Vanhoff said he was open to offers.
Mr Vanhoff, from Coldwell Baker, said he had had two serious inquiries.
"It's hard work, every now and then when there's a huge lotto or Powerball, people seem to think they've already won and start their shopping lists and call me first," he said.
"Once the dredging and other activities have ceased in the Gladstone region, it will probably pick up more interest."
For takers wanting something in the lower end of the price range, a 4.8ha property on Quoin Island is priced at $2 million.