Which CQ suburbs have the cheapest houses in Queensland?
CENTRAL Queensland is the affordable housing hot spot for the state.
The region dominates a new Domain report identifying the 10 cheapest places for homes in Queensland and unfortunately for us most of the reasoning is based on the fate of towns and suburbs hit hardest by the mining downturn.
Domain chief economist Dr Andrew Wilson said prices in towns like Moranbah had been driven up by property speculators in 2011 and 2012 before the coal slump caught out investors who had bought near the peak.
A lot of smaller investors were left high and dry," he said in the report.
"(The Moranbah median price) was very high at one stage ($469,000 in 2011, $160,000 in 2016), the mining bust has certainly worked its way into the area."
Three Rockhampton region locations, Depot Hill, Rockhampton City and Mount Morgan, traditionally among the lower priced areas, are also in the top 10
"It's gone back a little bit, which is a lot to do with the slowdown in the mining industry," said Noel Livingston, REIQ chairman for the Rockhampton region.
The rental vacancy used to be about one to two per cent, he added, until a development boom created a glut of properties. The high rental vacancy rate of about seven per cent has driven prices down.
Mr Livingston said he expects the second half of the year to hold better news for the rural property market with the beef industry enjoying record prices following good winter rainfall
And he was also interested to see how the Federal Election pans out on Saturday.
"Things like the Rookwood Weir and other infrastructure projects, sports facilities - major promises have come from the Coalition and we haven't had that sort of funding in a long time, so it would really mean a lot to the area," he said.
"The market's nervous at the moment, investors have gone into their shells but always pre-election the market's slow. I'm anticipating a stronger market for the second half of the year."
Dr Wilson said there was salvation for rural communities in the lower dollar, but the effect will take time to work its way back into tourism and agriculture. In the meantime, he said it's "buyer beware".