Issuu

Why sell now? A message from John Parkes The Australian market is high functioning with high turnover, with not too much of a gap between buyers and sellers. We know we’re in a new cycle, however, in this Newsletter we will cover a number of reasons why prices aren’t likely to drop dramatically here on the Southern Gold Coast. As a team, we take nothing for granted and know we can achieve competition for property in any market. We’ve been in business for 20+ years and right now we continue to defy the headlines. The fact is people buy and sell property every day. They upsize, downsize, move away and move home as everyone’s personal circumstances are different. Selling is a personal decision. Some pundits are now predicting up to 20 per cent price falls in some markets off the back of the supersized, inflation-busting rate rise. These were also the same pundits who were predicting 30 per cent falls at the start of the pandemic. They were so wrong. We’ve always said that we don’t have a crystal ball to predict the future and we’ve never been one to speculate. We work in the ‘now’. What we know right now is that our all critical appraisal numbers are up 62 per cent on two years ago and 22 per cent higher than last year. This gives us confidence that the spring pipeline is looking strong. Stock is rising. Our open homes numbers remain sound (10 per cent higher foot traffic than one year ago but still 22 per cent lower than two years ago during the height of the pandemic). Our volume of sales are also up on two years ago too. Scheduled auctions across our offices remain higher too over the last two years, and since polling day our clearances are climbing back to the mid-60 per cent ranges - which is actually slightly above our long term average. Our team's average days on market right now is 22, which is still over a fortnight shorter than the area average. Our job has always been the same. To create competition for our sellers - and we can do that in any market. The process remains the same to market our properties as far and widely as possible for our sellers. We’ve never lost sight of that. Regards,

John Parkes TUGUN'S NUMBER #1 PROPERTY SPECIALIST

0418 245 590 john.parkes@raywhite.com

Awarded C H A I R M A N ' S

ELITE P E R F O R M E R

2 1 - 2 2

The magic of our yellow hammer... 21/22 FY Auction Snapshot There continues to be strong conversations around Auction vs Private Treaty. Despite the current market conditions, it excites us to see our auction volume remain on par with levels we saw at the same time last year. Our data shows us that the auction process is obtaining an 18 per cent better clearance rate at day 45 compared to private treaty. Running the process and ticking all the boxes throughout the campaign is critical in obtaining a higher number of registered bidders & active bidders - ultimately achieving a better outcome for all involved.

$119M WORTH OF PROPERTY SOLD

141 PROPERTIES AUCTIONED ONLINE

94% AUCTION PROPERTIES SOLD AT AUCTION, PRIOR, POST

823 BUYERS REGISTERED TO BID

Our Market at a glance: 4224 TUGUN HOUSES

SOLD MAY JULY 2022

APARTMENTS

HIGHEST $9,100,000

HIGHEST $1,450,000

MEDIAN $1,200,000

MEDIAN $885,000

HOUSES

UNITS

AVERAGE DOM*

Tugun

LGA GOLD COAST

GOLD COAST LGA HOUSES

APARTMENTS

MEDIAN $1,000,000

MEDIAN $620,000

AVERAGE DOM 60

AVERAGE DOM 78

Our Market at a glance: 4223 CURRUMBIN HOUSES

SOLD LAST QUARTER

APARTMENTS

HIGHEST $4,025,000

HIGHEST $890,000

MEDIAN $1,901,000

MEDIAN $850,000

HOUSES

UNITS

AVERAGE DOM*

Currumbin

LGA GOLD COAST

GOLD COAST LGA HOUSES

APARTMENTS

MEDIAN $1,000,000

MEDIAN $620,000

AVERAGE DOM 60

AVERAGE DOM 78

Our Market at a glance: 4221 PALM BEACH HOUSES

SOLD LAST QUARTER

APARTMENTS

HIGHEST $3,600,000

HIGHEST $3,950,000

MEDIAN $1,500,000

MEDIAN $875,000

HOUSES

UNITS

AVERAGE DOM*

Palm Beach

LGA GOLD COAST

GOLD COAST LGA HOUSES

APARTMENTS

MEDIAN $1,000,000

MEDIAN $620,000

AVERAGE DOM 60

AVERAGE DOM 78

Our Market at a glance: 4225 BILINGA HOUSES

SOLD LAST QUARTER

APARTMENTS

HIGHEST $1,100,000

HIGHEST $2,600,000

MEDIAN $1,100,000

MEDIAN $1,450,000

HOUSES

UNITS

AVERAGE DOM*

28 Bilinga

LGA GOLD COAST

GOLD COAST LGA HOUSES

APARTMENTS

MEDIAN $1,000,000

MEDIAN $620,000

AVERAGE DOM 60

AVERAGE DOM 78

SOLD by the John Parkes Team

13 CASTLE COURT, TUGUN

28 SAN MICHEL STREET, TUGUN

Online Auction

Sale Price: $1,300,000

Sale Price: $1,368,500

Buyer Origin: Interstate

Buyer Origin: Local

13 CHAFFEY STREET, TUGUN

4 ELIZABETH STREET, TUGUN

Online Auction

Sale Price: $1,311,000

Sale Price: $3,250,000

Buyer Origin: Local

20 BOB BARNARD DRIVE, TUGUN

2 DILGARA STREET, TUGUN

Online Auction

Sale Price: $1,306,000

Sale Price: $1,285,000

Buyer Origin: QLD

62 MONASH STREET, TUGUN

39 MIRREEN DRIVE, TUGUN

Online Auction

Prior to Auction

Sale Price: $1,050,000

Sale Price: $3,250,000

Buyer Origin: Local

Borrowing power vs Rate rises The cash rate has been increasing, with economists from the big four banks predicting it could grow to over 2%. The cash rate impacts the interest rate lenders offer on variable-rate home loans, which in turn impacts the total amount someone may be able to borrow. If the cash rate continues to grow, and the lenders pass on the increase to borrowers, the total amount a borrower can access will decrease. In the example below, an increase in interest rate by just 0.25 percentage points from 2.5% p.a. to 2.75% p.a. would decrease borrowing capacity by $21,000. A change of one percentage point from 2.5% p.a. to 3.5% p.a. would decrease borrowing capacity by $77,000.

POTENTIAL BUYER

Annual Salary: $90K

Dependents: 0

Loan term: 30 years

Average Australian expenses

INTEREST RATE P.A

For more information or to discuss your own borrowing power, reach out to Connor Summers at Loan Market for your free, no-obligation chat.

BORROWING CAPACITY

2.50%

$693,000

2.75%

$672,000

CONNOR SUMMERS

3.00%

$653,000

0416 838 673

3.25%

$634,000

connor.summers@loanmarket.com.au

What's Happening in Our Neighbourhood

Gold Coast Terminal Expansion Set to open late 2022, this three-level 30,000 sqm game-changer doubles the terminal’s current size - connecting with the existing terminal there’ll be room for 19 additional large aircraft to touch down or take off. The expansion will accommodate 6 new gates setting the stage for new and returning international and domestic flight connections. As the world keeps moving ahead and borders start to reopen, links to New Zealand, Singapore, Korea, Japan and Malaysia will be ready to go from the new-and-improved terminal.

Palm Beach Aquatic & Community Centre Redevelopment Demolition is well underway on the Palm Beach Aquatic Centre which will see the site redeveloped and transformed into an exciting community hub. Major new features will include a community centre with a multipurpose hall and flexible spaces, new pools for aquatic activities, a water play area, fitness centre, dance studio, café and creche. It is also great to know that a target has been set to recycle 95% of the former concrete structure and 60% of the building materials. The Centre is due to reopen in early 2024. For detailed information and construction activities visit - cityofgoldcoast.com.au/pbacc

Currumbin Creek Road & Bienvenue Drive Intersection The Department of Transport and Main Roads is undertaking consultation for the upgrade of the Currumbin Creek Road and Bienvenue Drive intersection at Currumbin Waters. The $4 million project is proposing to improve capacity, efficiency and safety at the intersection. Design is expected to be finalised in September 2022, with early works (including service relocations) to commence in October 2022. Then in early 2023 construction of the intersection improvements are expected to begin.

Local Love Currumbin - Tommy's Italian We might not be able to travel to Europe right now, but that doesn’t mean you can’t dine like you’re on the island of Capri thanks to Currumbin’s newest edition, Tommy’s Italian. Perched perfectly on Pacific Parade, Tommy’s is already a local’s favourite – seriously, you’ll need to book in advance if you want to snag a table here. A collaboration between hospitality royalty Ronnie Tarabay (former owner of The Fish House) and Tom Torchut (Arc Dining and Gemelli Italian) Tommy’s has taken over the space previously occupied by The Beach Shack. The building has since been transformed into a stunning 120-seat trattoria complete with red and white striped seating and umbrellas, a sprawling mezzanine primed for sunset Aperol Spritz sessions and plenty of outdoor seating so you can soak up the beachside vibes. Open for takeaway during the week, in the morning you can sip Single O coffee and devour their Italian twist on a classic bacon and egg roll (think: mozzarella and mortadella). By night you can feast on their mouth-watering menu featuring dishes like grilled Western Australian octopus with nduja dressing, king prawn fettuccine and a 1KG T-Bone Bistecca fiorentina. 818 Pacific Parade, Currumbin. @tommyscurrumbin

Tugun - Tugun Fruit & Flower If you’re looking for one of the best acai bowls on the Gold Coast, then Tugun Fruit & Flowers needs to go to the top of your hit list. The café and grocer are notorious for having a line of locals gathered out the front sipping coffee and perusing the incredible (and affordable) flower selection, but don’t let the crowd put you off, the service here is fast and friendly. But back to the bowls.. Loaded with fresh fruit and topped with lashing of peanut butter, coconut and chocolate granola, these guys are famous for serving heaven in a bowl. Pro tip: the bowls are best consumed whilst sinking your feet into the sand of Tugun beach just a short sun-soaked stroll away. There’s also a tasty selection of smoothies and fresh juices to slurp while you fill your canvas bags with the local, organically grown fruit and vegetables on offer. A staple in the Tugun community since 1975 when Jim O’Reilly first opened the store, today the legacy lives on with grand-daughter Katie now in charge, so be sure to pop in next time you’re in the area. 4/467 Golden Four Drive, Tugun. @tugunfruitandflowers

Out & About

Mark your calendars; the Southern Gold Coast social diary is jam-packed with epic events as we head into the warmer months.

Tugun Market Co. Recently undergoing a stylish renovation, Tugun Market Co. is the ultimate spot to load up on your weekly shop of super fresh, locally grown produce with gourmet smallgoods, organic butchery, fromagerie, cafe and premium quality groceries all under one roof. ⁠ Where: 449 Gold Coast Highway, Tugun When: Daily from 6am

Bleach' Festival BLEACH* is bringing more than 233 artists, 94 performers and 36 events to four main hubs across the Gold Coast. Attendees can expect 11 days of pulsating performance, contrasting stories of grand spectacle with the intimate moments that underscore a contemporary Gold Coast. Where: North Burleigh Lookout, Miami When: 11th - 21st August

Swell Sculpture Festival The annual SWELL Sculpture Festival is celebrating its 20th year as a free and all-inclusive 10-day outdoor sculpture exhibition, by the people for the people. A celebration of narratives and stories spoken through the artworks produced by local, national and international artists. Where: Currumbin beachfront When: 9th - 18th September

Coolangatta Gold One of the most grueling, challenging races in surf sports is once again taking place in our backyard. If you’re feeling up to the challenge, entries are now open, or just head along and cheer on these incredible athletes. Where: Coolangatta Beach When: 15th - 16th October

"John and his team were fantastic to work with throughout the entire process of selling our house, and his in-depth knowledge of the Gold Coast real estate market really showed. John's track record of getting great results at auction was a major factor of our decision to choose Ray White as our listing agent, and we would gladly use them again." - Seller in Tugun

Johnparkes4224

@john_parkes

John Parkes