Thankfully the latter six months of 2012 have seen an increase in tourist numbers and general activity in Port Douglas. The accommodation houses and restaurants have been noticeably busier. The consequence of this is that property owners have experienced better returns.
What is even more promising is that accommodation houses are reporting good forward bookings for 2013.
In the Port Douglas property market the following are points of interest:
1. Occupancy rates in both holiday and permanent lettings have increased.
2. Unfortunately because of the great debts for Insurance companies due to Earthquakes in New Zealand, floods in Brisbane and Cyclone Yasi in Cardwell, the majority of insurance companies have increased their premiums immensely.
3. Costs of council rates have escalated too. These “outgoings” have placed terrible pressures onto all owners and investors.
For us, as Port Douglas Real Estate Agents, we have found this a difficult market to work in, as the news we pass onto our Sellers is not always pleasing.
As the Agent who is the purveyor of news that property values have dropped by 10% to 50%, does not bring happiness to prospective sellers. For the past 4 years we have experienced “heartbreak” for many people.
Buyers on the other hand, have bought well, but there is still is an obvious “fear” and lack of confidence in the future. I guess with the daily, negative news from around the world, no-one exudes confidence and little positive news and optimism for the future has been forthcoming from the experts and politicians.
For most of us, we have been, and still are experiencing an “economic climate”, which is the toughest for 60+ years.
From all we observe, we believe we should see the Port Douglas Property market “improving somewhat” in 2013. Whilst we believe this to be the bottom of the Port Douglas Real Estate market, (price wise) a definite increase in the volume of sales, gives us reason to be optimistic.
Recent figures from the REIQ show the turnover in sales in both Macrossan Street and Davidson Street has been amongst the highest in Far North Queensland.
By this time next year we forecast there will be an upturn in the Port Douglas real estate prices, but not with the sharp price increases we have known in the past.
Our outlook is further buoyed by recent reports from Port Douglas Holiday Accommodation houses which have indicated that the forward bookings are significantly better than they have been for the last four years.
So where do we go from here? The Port Douglas property market is slowly turning a corner.
We need to remind ourselves that we are lucky to be living in a great country with the majority of people being genuinely good citizens.
There’s a lot of caring, helpful and generous people in our small community who make daily contributions to society. We would like to congratulate these people and continue to aspire to do our share.
We would like to take this opportunity to wish all Century 21 Port Douglas clients good health and happiness. May your Christmas and festive season be spent happily with family and friends.
Best Wishes from Phil Holloway, Ian Johnson, Narelle Johnson and the staff of Century 21 Port Douglas.