A major news outlet recently reported that Willow Vale median house prices were lower in October 2021 than they were in October 2019. While this statement is factually correct, they misunderstand what a median house price is, and why this is not a reliable indicator of house price change for some suburbs, including Willow Vale.
The news report includes statements including:
“Where you can buy at or below pre-pandemic prices in QLD”
“…suburbs across Queensland where values had fallen over that two year period…”
This is why we believe this media report could be seen as misleading…
1. Willow Vale has two distinct types of housing – acreage and normal suburban lots. The median price in any time frame depends on whether more acreage homes were sold, or more suburban lot homes.
2. Willow Vale has relatively few homes compared to other suburbs, and also relatively few sales each year. In fact, 30 home sales growing to 55 per annum in the past 3 years. Compare this to hundreds of home sales in most suburbs. Comparison of median prices is only useful when there are a relatively large number of sales and/ or similar homes in an area.
3. Suburb records continue to be set each year.
The real picture
Look at this graph copied from Corelogic’s RP Data on 20/12/21 to see how much Willow Vales’ median home price fluctuates:
Depending on which two months you select to compare, you could say that Willow Vale had over 200% media price growth within months!
This is why you need a local real estate agent who knows your area to advise you.
So, if you read that media article and were concerned, don’t be. Property values in Willow Vale have been affected by the recent crazy market conditions with upward price pressure, similarly to other north Gold Coast suburbs.
If you would like assurance, or are just curious what your home is worth now, we would love to give you a Property Price Report for your home. These are reports we at Foxwell Realty give to local homeowners who are not selling, but just want an update. Why? Because we love helping our local homeowners and would love you to get to know us.
Also, be aware that some investors will have read the article and will be looking in Willow Vale for a bargain. If you are selling, please make sure you get good advice on what your home is really worth.