Australia’s cheapest oceanfront suburbs

Lifestyle regions across the Australian coastline have been some of the hardest hit by the economic downturn however, they are starting to bounce back but bargains are still available if you look hard enough.

Although coastal markets have felt the full brunt of the global economic downturn there is now evidence in most regions that values falls have now slowed or subsided and some areas are now starting to bounce back. Coastal properties remain popular because of the Australian fixation with the coastline resulting in a desire by many to live within close proximity to the coast.

The falling prices in coastal areas have seen some of the most popular and expensive coastal markets witness significant falls as those who have over capitalised have, in some instances, been forced to sell. A case in point is the suburb of Portsea, on the Mornington Peninsula of Victoria where median house prices have fallen by -32.7% over the last 12 months.

Some of these suburbs are also seeing significant levels of vendor discounting with the vendors sale price expectation not meeting what purchasers are willing to pay. A good example of this is Paradise Point on Queensland’s Gold Coast where properties have had to be discounted by an average of -17.2% from their initial listing price over the last year in order to sell.

The nation’s most affordable coastal suburb as at the end of September 2009 was Rocky Cape in Tasmania with a median house price of $53,750 across 18 sales over the last year. On the flip side, Vaucluse in Sydney is the most expensive oceanfront suburb with a median house price of $3.16 million across 77 sales during the last year.

The lists provided in this release only include suburbs which sit adjacent to the oceanfront, this doesn’t necessarily mean true oceanfront properties will be available. The lists also include only those suburbs which have recorded 10 sales or more over the last 12 months.

NSW: the most affordable oceanfront suburb is Stuarts Point which is located in the Hastings LGA on the NSW Mid North Coast, just to the north of South West Rocks. Three of the five most affordable coastal suburbs (Narooma, Moruya and Lake Tabourie) are located south of Sydney with the remaining two situated north of the capital. All of these suburbs have an affordable median house price which sits below $300,000.

VIC: the state’s most affordable coastal suburb is Loch Sport in the East Gippsland region with a median house price of $146,750. All of the five most affordable Victorian coastal suburbs are situated in the East Gippsland or Gippsland region and they all have a median price below $175,000.

QLD: intriguingly the three most affordable coastal suburbs in the state are all found in the Brisbane Statistical Division and are all Moreton Bay islands. The most affordable is Lamb Island with a median house price of $188,500. Outside of Brisbane affordable coastal houses are found within Hervey Bay and Bundaberg.

SA: Clinton on the Yorke Peninsula is the state’s most affordable oceanfront suburb with a median price of $177,500. All of the suburbs detailed except for Thompson Beach are in quite remote areas of the state and they all have a median price of $200,000 or less.

WA: prices in WA coastal suburbs tend to be more expensive, with the most affordable suburb (Withers) sitting at a median house price of $255,000. All of the five most affordable suburbs have a median price of $330,000 or less and all are situated in larger regional townships.

TAS: Rocky Cape is Tasmania’s and the nation’s most affordable coastal suburb with a median price of $53,750. Only one of the suburbs listed (Primrose Sands) is situated in the Greater Hobart Region however, Eggs and Bacon Bay and White Beach are both within a relatively easy commute of the capital. Within Tasmania median prices in the five most affordable coastal suburbs provide a very low entry point into the coastal market, with all recorded at or below $175,000.

NT: has very few coastal suburbs which have recorded enough sales over the last 12 month to record accurate median house prices. The result is that most of the cheapest oceanfront suburbs are actually situated in Darwin and are quite expensive. The exception is Wagait Beach which sits across Darwin Harbour on the Cox Peninsula and has a median house price of $217,500.