As we look ahead to what might be in store for the property market in 2025, it is important to look at it from a macro view. While most capital cities experienced a retraction over the past year, the Gold Coast has remained very resilient.

Sustained population growth, limited housing supply, and significant investment in public infrastructure has kept the local market buoyant and will continue to do – despite broader economic challenges – moving through the next market cycle.

The government’s role in fostering a healthy property market cannot be overlooked. The recent change in state government has already stimulated confidence, bringing with it a spur in activity and enquiries that had otherwise softened by late last year. If there is a change in government at the next Federal election, which could happen as early as May, it is likely to boost the market further in the second half of 2025.

Introducing policies that incentivise private sector build-to-rent developments and reduce tax burdens could significantly help to alleviate housing shortages. Meanwhile, implementing measures that stimulate renewed interest from investors, such as stamp duty exemptions or long-term land tax waivers, would go a long way to addressing systemic issues that are affecting the market.

Interest rates
The narrative with interest rates is being watched very closely by many. The Reserve Bank is being cautious with its messaging, but recent indications are that a cut is unlikely in the first quarter of the year, or before the desired effect of slowing the economy and inflation has been achieved.

Rate drops of up to 100 basis points are likely, but when those cuts will come remains to be seen. Until then, the market can expect further bumps in the road and buyers will continue to be somewhat cautious in their decision making.

The cost of living continues to bite, yet there are a lot of people generating significant wealth in other sectors. While they remain optimistically cautious, thanks to a very solid market over the past four years, there is the opportunity for people to do very well in the Gold Coast market if they do not overleverage.

Apartment market
A critical trend for the Gold Coast market in the year ahead will be the growing appeal of the apartment market.

With an ageing population seeking low-maintenance living and the continued constraints on high-rise construction, the demand for apartments will continue to remain strong and outstrip supply levels.

To meet the state’s housing targets, it has been reported that more than 50 new towers need to be built every single year for the next decade. That equates to 38,800 new high-rise apartments being built between now and 2031 to keep up with population growth.

As this is highly unlikely, the resulting shortage in supply, coupled with the high-level of demand, will drive significant price growth in this sector. Brisbane is already achieving $45,000 a square metre for their premium apartments, which is almost $20,000 a square metre more than what is being achieved on the Gold Coast, so there is considerable room for growth.

Established developments and well-considered off-the-plan projects are destined to outperform, provided buyers choose projects with reputable developers that have a certainty of delivery and the right product mix, amenity and car parking ratios.

Investors
Investors looking for opportunities in 2025 should consider where density is most likely to increase, because density drives price growth. Following the light rail is a savvy option, but there are many areas for investors to focus on in 2025 and beyond.

Anything within proximity to the beach, on the Main River, or canal front will continue to perform because of the lifestyle on offer. Properties close to major schools and major shopping centres are predicted to also do well.
Provided investors take a long-term view, there is considerable room for price growth.

Advice for buyers and sellers
Buyers need to be extremely active in the opening months of the year because this is when supply levels are likely to be at their greatest. Making offers on suitable properties is strongly advised rather than sitting on the fence. Do not try to pick the bottom of the market because once rates start to fall, the market will strengthen and sellers will hold firm on their expectations. Instead, be optimistically cautious, but don’t buy outside of your means.

Sellers are likely to see a little less activity over the coming six months. Those who are serious about a sale will need to be lenient and open to meeting the market to make a deal happen, rather than hold out for unrealistic prices. For those not in a hurry to sell, withdrawing your property and re-listing late next year will likely prove advantageous and help to strengthen the current market by not leaving large volumes of properties sitting unsold.

While the road ahead will have its challenges, the fundamentals underpinning the Gold Coast market remain robust. If buyers and sellers make informed, considered decisions, 2025 will bring a year of growth and opportunity for the region.