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A drop in median prices for Sunshine Coast houses (-1.4 per cent) and units (-0.4 per cent) over the 12 months to December 2009 might seem like a negative result, but according to RP Data’s senior research analyst Cameron Kusher, it could represent a good start for the Coast’s property market in 2010 as opportunities to purchase at cheaper prices still exist.

Cameron says that during 2009, a drop in median prices was widespread across most Coastal markets with many hampered by a short supply of buyers and a significant level of willing sellers.

“Activity has slipped because the Sunshine Coast is essentially a coastal market that generally appeals to sea changers and retirees. These type of people saw huge losses across their super and their share portfolios. This has resulted in fewer people looking to move to a region such as the Coast over the last 18 months.”

He adds, “With the share market bouncing back, consumer and business confidence at high levels, coupled with positive economic indicators, we expect demand within lifestyle regions to increase during 2010.

“The price drop in coastal and prestige markets has created some great opportunities to secure high-quality properties at competitive prices. And while opportunities remain and we are yet to see prices going up again, the chance to capture a well-priced luxury property is decreasing every day.”

He adds, “As the market continues to rebound, the likelihood of more active buyers for coastal and lifestyle property increases.”

Across the Sunshine Coast, the majority of suburbs recorded a fall in median house prices during 2009. However, those suburbs that recorded an increase in median prices were in the more affordable areas of the Coast where the price to purchase a home was below $500,000.

Cameron says that this outcome was to be expected because lower-priced segments of the market were the most active and buyers were generally few and far between for more expensive properties.

He says that it is interesting to see that some of the more affordable markets (albeit those that aren’t particularly well-established) record some of the largestfalls in median price.

House values increased across all capital city markets by 10.4 per cent while unit values increased by 13.5 per cent.

Cameron says both Sydney and Melbourne values bounced back during 2009. He anticipates that this will create a knock-on effect during the upcoming year with Brisbane likely to be one of the better performers. Subsequently, he also believes this should result in some level of property price growth returning to the Sunshine Coast market during 2010.