Owners discount Gold Coast home by $2 million amid changing luxury property market

A Queensland mega-mansion has been put back on sale for $2 million cheaper, but the builder warns the $12 million price tag is still less than what the replica would cost today.

The owners of the newly built Gold Coast home in Mermaid Beach initially listed their permanent home at $14 million over the federal budget, citing property tax changes as a loss of confidence.

The latest property price index from realestate.com.au showed property values ​​on the Gold Coast fell 0.13 per cent in August – pushing total quarterly growth into negative territory at -0.72 per cent.

Data from Ray White also found that the city’s median home price is $1.27 million, while the median unit price is $874,000.

The data showed the number of days properties sit on the Gold Coast market has also increased, with houses listed for 48 and units listed for 51.

Ray White economist Atom Go Tian said the prestige market is most vulnerable in times of uncertainty.

“What we are seeing is that the premium markets are falling first compared to the cheaper areas,” Mr Go Tian said.

“If you look at the Gold Coast and the North Coast, those areas are no worse off when you compare them to the coastal areas, which have a higher price tag.

“These top buyers also have the luxury of waiting for more favorable terms because the prices they play around with are more influenced by interest rates and loan terms.”

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Mr Go Tian said sellers need to consider market conditions when putting their home up for sale.

“They can’t expect the same prices they got earlier this year,” he said.

“Sellers used to be at the forefront and buyers were on the hunt for sellers’ offers, but the next six months will be a very reactive period.

“Buyers are retreating and sellers have to respond to buyers’ market conditions.

“There used to be an abundance of bueyrs so sellers could do whatever they wanted, but now sellers in particular need to be more deliberate when entering the market.”

However, he said that the slowdown in the market does not mean that transactions are not being signed.

“They’re still happening and premium buyers are still entering the market, they’re just taking a little longer to get sales.”

After assessing the current market, the sellers of 11 Lavarack Rd have relisted the home for $12 million, which they say is $2 million below the current replacement value in the suburb.

Daniel Boots, founder and director of luxury custom-build firm DB Build, built the Grade II listed home.

He emphasized that purchasing an established high-end model guarantees immediate quality at a well-known price in today’s market.

“Material supplies have stabilized since the pandemic, but a tight trade market means demand for labor is now the main driver of replacement costs,” Boots said.

“When you look at a bespoke build of this scale, the value is not just in the bricks and mortar, but also in the specialist craftsmanship and the sheer time savings that come from avoiding current industry delays.”

The property is for sale with Ray White Malan + Co and Kollosche.

Ray White Malan + Co agent Dan Donovan said buyers were increasingly looking for security.

“Securing a turnkey residence of this caliber below replacement cost allows buyers to avoid the lead times and cost pressures of new construction,” Donovan said.

The five-bedroom house is set in a prime 607sqm corner block with a stunning sculptural composition of concrete and hand-laid stone.

An expansive, multi-level, 8,000 square foot floor plan offers an array of luxurious amenities including a gourmet kitchen, plunge pool, sauna, built-in grill and wrap-around rooftop terrace.