INTERACTIVE: Where to buy a home for less than $300K
THE cream of Ipswich's townhouse crop has sold leading to a startling drop in prices over the last quarter as people are forced to choose from older, cheaper stock.
During the past three months the average sale price for units and townhouses dropped by 21 per cent down from an average of $300,000 to $237,000, according to the latest REIQ report.
But agents say that's no indication demand in Ipswich is slowing even though the report also shows an overall slowdown in sales of about 2 per cent.
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On the contrary, real estate agent Darren Boettcher said there wasn't enough land to meet demand from people looking to build new homes.
"Ipswich is desirable for investors," Mr Boettcher said.
"As soon as you release land it's snapped up.
"I'd expect that to steadily grow, by about 5 per cent, over the next five years.
"The slowdown in units is actually because all the brand new ones have been sold leaving the older, cheaper properties that are selling for between $190,000 and $260,000 instead of $290,000 or $320,000."
Ray White Commercial Principal Warren Ramsey agreed saying with only second-hand units on the market, the drop in price was "nothing to be concerned about".
He said the general slowdown was also to be expected.
"That's one of the major reasons why people invest in property and try to generate wealth for later years in life, so they're waiting until after the election."
Both agents said Ipswich was attractive to investors because, compared to Brisbane, property was still affordable and offered good returns for buyers.
That's been echoed by REIQ CEO Antonia Mercorella who said at average price of $321,500, Ipswich represented a "good buying opportunities for investors and owner occupiers" wanting property in the south-east corner.
"Infrastructure and facilities are being added here and the area is highly desirable for its proximity to Brisbane and the Gold Coast, satisfying two big commuter markets," Ms Mercorella said.