Property Predictions for 2025: Why the Sunshine Coast Remains #1

Property Predictions for 2025: Why the Sunshine Coast Remains #1 With 2025 firmly upon us now, it’s clear that the trends shaping Australia’s property market are continuing along our predicted trajectory. At Investor Property, our forecasts from late 2022 remain steadfast, and the Sunshine Coast is still leading as Australia’s top residential property investment destination….

Property Predictions for 2025: Why the Sunshine Coast Remains #1

With 2025 firmly upon us now, it’s clear that the trends shaping Australia’s property market are continuing along our predicted trajectory. At Investor Property, our forecasts from late 2022 remain steadfast, and the Sunshine Coast is still leading as Australia’s top residential property investment destination. Here’s what we see unfolding over the next 12 months and beyond, as predicted in earlier years:

  1. An Expanding Crisis
    The housing crisis is intensifying, with rising homelessness rates becoming a stark indicator of the growing imbalance between supply and demand. On the Sunshine Coast, where planning constraints can limit or extensively delay new developments, the undersupply of housing continues to worsen, exacerbating these issues.
  2. No Quick Fixes
    Despite widespread recognition of the housing crisis, no significant measures have been implemented to turn things around. Demand continues to grow, but supply simply isn’t keeping pace—a situation that we expect to persist well beyond the next few years. Worse yet, Sunshine Coast Council’s proposed planning scheme has been knocked back by the State who have, in effect, said that Council is trying to stop development.
  3. Pent-Up Demand
    The combination of limited housing supply and lending restraints has created substantial pent-up demand. Many prospective buyers are holding off due to borrowing constraints, but as lending conditions ease, this demand is likely to flood the market, driving further price increases.
  4. Lower Interest Rates on the Horizon
    While interest rates have been a key concern in recent years, we anticipate a downward trend in 2025. Lower rates will ease borrowing pressures, making it more accessible for buyers to re-enter the market. This is particularly significant for the Sunshine Coast, where the demand for property remains consistently high.
  5. Rising Prices
    With demand outstripping supply, and interest rates expected to fall, property prices are set to continue their upward trajectory. The Sunshine Coast, as a lifestyle and economic hotspot, will see particularly strong growth, solidifying its position as a premier investment location. Despite media commentary about median prices falling (we are not believers in medians as a true measure of the market!), the true market indicators on the Sunshine Coast show us that prices are and will continue to be rising.

Why the Sunshine Coast Remains #1

The Sunshine Coast is uniquely positioned as Australia’s top residential property investment destination. Its combination of lifestyle appeal, significant infrastructure projects, and strong population growth make it a standout market. Projects like the Sunshine Coast International Broadband Network and the addition of a second subsea cable cement the region’s reputation as a hub for innovation and connectivity, further driving economic activity and demand for housing.

Geographic constraints and strict zoning regulations mean land supply is inherently limited, creating an environment where demand consistently outpaces availability. This imbalance is a key driver of capital growth and rental yields, making the Sunshine Coast a reliable choice for long-term property investment.

Looking Beyond 2025

We see these trends extending well into 2026, with no immediate solutions to address the supply-demand imbalance. For property investors, this presents a clear opportunity: act now to secure a foothold in a market that shows no signs of slowing down.

If you’ve been considering your next move in property, there’s no better time to align your strategy with the unique opportunities presented by the Sunshine Coast. Talk to your Property Coach today and make 2025 the year you take your investment journey to the next level.

Let’s plan for success—together.