Sunshine Coast property market trends

Sunshine Coast property market – what’s in store for 2025

The Sunshine Coast property market is a fascinating landscape. Sometimes it mirrors the movements of Sydney and Melbourne, driven by interstate migration and national economic trends.

Other times, it forges its own path, fueled by lifestyle appeal, limited stock, and unique local dynamics.

In 2024, we witnessed an extraordinary year where the Coast outperformed many southern capitals, standing as a testament to its growing appeal and resilience.

As a buyer’s agent, I’ve seen how these dynamics shape opportunities and challenges for buyers and sellers alike. Here’s a closer look at the key factors driving the Sunshine Coast market and what lies ahead in 2025.

1. Sunshine Coast property market trends

The Sunshine Coast market often lags behind Sydney and Melbourne during periods of rapid price growth or decline. However, it doesn’t always follow the same trajectory.

While southern markets were patchy in 2024, Noosa and the broader Sunshine Coast experienced a surge, marked by record sales across all price points.

This divergence can be attributed to:

• Smaller market size: The Sunshine Coast’s localised market reacts differently to external pressures.
  
  
• Lifestyle-driven demand: For the Sunshine Coast, buyers in many cases prioritise lifestyle over investment metrics, creating steadier price trends.
  
  
• Migration trends: A steady flow of interstate buyers buffers the market from extreme volatility.

These dynamics create unique opportunities for buyers to act strategically during transitional periods.

2. Interstate migration: The lifestyle factor

The Sunshine Coast continues to attract buyers from Sydney, Melbourne, and even Brisbane, drawn by affordability and an enviable lifestyle. The Regional Australia Institute’s Regional Movers Index highlighted that the Sunshine Coast captured 9.1% of interstate migration in the last quarter of 2024 and has topped the list for the last 9 quarters  – a remarkable feat.

Key motivators include:

• Affordability: Sunshine Coast properties remain more accessible than those in Sydney or Melbourne.
  
  
• Lifestyle upgrade: Coastal living, warm weather, and proximity to natural beauty attract families, retirees, and remote workers.
  
  
• Post-COVID work trends: Flexible work arrangements have made the Sunshine Coast a viable option for professionals seeking a better work-life balance for themselves and their families.

This steady migration has created consistent demand, even during periods of economic uncertainty.

3. Interest rates and borrowing capacity

Interest rate adjustments impact all property markets, but the Sunshine Coast responds differently. National experts predict rate cuts in 2025, which could:

• Increase borrowing capacity and buyer confidence.
• Renew interest from both investors and owner-occupiers.

However, the Sunshine Coast’s lifestyle-driven appeal means buyers often weigh long-term benefits over short-term financial changes, insulating the market from the boom-and-bust cycles seen in larger cities and those cycles seen more significantly historically in this market.

4. 2024: Resilient demand for coastal properties

Limited supply and consistent demand led to a buoyant market in 2024, even during traditionally slower months.

Luxury home buying, however, remains challenging. Building costs are unpredictable, and tight stock levels make downsizing or upgrading difficult.

For buyers, renovation opportunities may offer the best path forward for those prepared to take on the risk of this type of property. 

5. Noosa town planning and short-term letting and reshaping the property landscape

Significant town planning amendments are reshaping the property landscape:

• Duplex development: Building three-bedroom duplexes is essentially over, with older approvals now prime opportunities.
  
  
• Density restrictions: Homes on high-density sites are minimal, affecting families and downsizers alike.

Additionally, changes to short-term letting (STA) regulations have sparked debate. While intended to address affordable housing concerns, many owners have opted to leave properties vacant rather than convert them to permanent rentals. 

6. Opportunities in a changing Sunshine Coast property market

For buyers, the Sunshine Coast market presents opportunities even during slower periods:

• Less competition: Slower growth allows for more favourable negotiations.
• Strategic planning: Buyers can focus on properties with long-term lifestyle and value potential.

However, these windows are often short-lived. With anticipated rate cuts and sustained demand, conditions may tighten quickly. Acting early in the cycle could secure significant advantages.

Looking ahead to 2025

As we step into 2025, the Sunshine Coast market is poised for another dynamic year. With continued interstate migration, limited stock, and a lifestyle-driven focus, the market’s resilience is likely to persist.

While southern capitals may rebound, Noosa and the broader Sunshine Coast are expected to remain attractive for buyers seeking stability, value, and a superior lifestyle. Sellers in some markets are needing to revisit their price expectations and avoid overestimating market conditions.

For those navigating this ever-changing market, working with a local buyer’s agent ensures access to insights, opportunities, and strategies tailored to your goals.

If you’re considering buying in 2025, now is the time to plan strategically.

Reach out today to discuss how to make the most of the Sunshine Coast’s unique property landscape.