Aussies looking for sea change considering the Sunshine Coast

Aussies looking for sea change considering the Sunshine Coast

Do the COVID-19 blues have you daydreaming of sunny Queensland and considering a sea change? You’re not alone, as the latest data from Image Property shows that the idea of moving to the Sunshine Coast is growing in popularity.

Agents at Image Property reported a sharp increase in Sydney and Melbourne residents making buyer inquiries, with a move up the coast on the cards once COVID-19 restrictions ease.

The data from Image Property found inquiries were up 20 per cent from last year for Sunshine Coast properties from Sydney and Melbourne buyers.

The latest Australian Bureau of Statistics figures reflect these migration patterns, with Queensland seeing the highest net interstate migration (22,800 people) in the 12 months leading to June 2019.

These figures may be different for 2020 given the restrictions around COVID-19, but it still reflects a trend of Aussies moving to the Sunshine State in normal circumstances.

In fact, over the ten years to June 2019, Queensland had the greatest average annual interstate migration numbers contributing to its population growth. On average, Queensland received around 12,409 new citizens every year for the past decade.

How much more affordable is property in the Sunshine Coast?

When comparing the average house prices, it’s no surprise that location is everything. A 3-bedroom house in Sydney is going to cost more than a 3-bedroom house in Brisbane. And a 3-bedroom house in Noosa Heads is going to be more expensive than one in Caloundra.

The potential repayments on a home loan for a median priced 3-bedroom home in various neighbourhoods on the Sunshine Coast may be worth exploring for would-be buyers dreaming of a sea change.

Monthly mortgage repayments in Sunshine Coast

Suburb Median 3-br house price 20% deposit Monthly mortgage repayments
Maroochydore $597,500 $119,500 $2,117
Caloundra $630,000 $126,000 $2,232
Mooloolaba $717,500 $143,500 $2,542
Noosa Heads $960,000 $192,000 $3,402
Sunshine Beach $1,540,000 $308,000 $5,457

Source: RateCity.com.au, RealEstate.com.au. Notes: Repayment figures based on the average variable, owner-occupier, principal and interest home loan rate of 3.39 per cent as of 18.08.2020. Figures do not include stamp duty exemptions or monthly mortgage fees. Assumes 30-year mortgage length.

RateCity research shows that the monthly mortgage repayments are, unsurprisingly, more expensive in areas like Sunshine Beach or Noosa Heads. However, mortgage payments in Mooloolaba, Caloundra and Maroochydore are relatively affordable.

The latest CoreLogic figures show the median house price in Sydney is currently $866,110. Based on the same figures and assumptions above, the monthly mortgage repayments may come out to $3,069.

However, a 3-bedroom median house price in a Sydney suburb like Randwick ($2.35 million), would see monthly mortgage repayments of $8,327.

If you’re a Sydneysider looking for a sea change, and already paying upwards of $3,000 a month on mortgage repayments, the Sunshine Coast may be an affordable alternative.

Queensland-focused home loans

While you typically can get a home loan from any lender for any state or territory across Australia, there are some lenders who are offering competitive rates for Queensland residents.

If you’re considering a Sunshine Coast sea change, and want a Queensland-focused home loan too, here are some of the lowest rates on offer.

Lowest fixed rates for Queensland-specific lenders

Home loan Interest rate Comparison rate Comments
Greater Bank Fixed Home Loan - 1 Year

2.09%

3.53%

Applicable for NSW, ACT and QLD.
RACQ Bank Choices Fixed Home Loan - 3 Year

2.29%

3.93%

Only for QLD (unless you are an existing member of RACQ Bank outside Queensland).
QBANK Fixed Rate Home Loan Special - 3 Years

2.29%

3.47%

Restrictions around membership. View website for more details.

Source: RateCity.com.au. Data accurate as at 18.08.2020.

Lowest variable rates for Queensland-specific lenders

Home loan Interest rate Comparison rate Comments
RACQ Bank Mortgage Saver Special Home Loan

2.75%

2.77%

Only for QLD (unless you are an existing member of RACQ Bank outside Queensland).
QBANK Classic Home Loan Special Offer

2.76%

2.79%

Restrictions around membership. View website for more details.
Greater Bank Great Rate Variable Home Loan

2.94%

2.95%

Applicable for NSW, ACT and QLD.

Source: RateCity.com.au. Data accurate as at 18.08.2020.

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