Gold Coast housing boom turns to bust as prices become 'unsustainable'

Key facts

• Gold Coast median house price reached $1.498 million in 2025.
• Median unit price hit $1.125 million in 2025.
• In 2021, median house price was $850,000; unit price was $535,000.
• Dwelling prices fell 0.6% in the past 90 days.
• Surfers Paradise median price dropped $190,000 to $3.19 million.
• Some exclusive suburbs saw drops of up to 6% in recent months.
• SQM Research director Louis Christopher called growth 'extraordinarily high' compared to income.

The boom that reshaped a coastline

The Gold Coast, long celebrated for its sun-drenched beaches and laid-back lifestyle, has become Australia's most expensive rental market. Since the Covid pandemic, thousands of new residents from New South Wales and Victoria have flocked to the region, drawn by the promise of affordable living and ocean views. That influx has driven median house prices to nearly double their 2021 levels, pushing the city into uncharted economic territory.

Prices hit a turning point

SQM Research director Louis Christopher has tracked the Gold Coast's price surge for years, warning that valuations were becoming detached from local incomes. 'They've been extraordinarily high compared to incomes there,' he said, attributing the rise to strong population growth and limited new supply. Now, he believes the market is approaching an 'unsustainable' level, with signs of a correction already visible.

The numbers behind the slowdown

After a 19.4% surge in combined dwelling prices in 2025, the market has begun to cool. Over the past 90 days, dwelling prices have slipped 0.6%. In the most exclusive suburbs, the decline is steeper: some areas have recorded drops of up to 6%. Surfers Paradise, a bellwether for luxury property, saw its median price fall by $190,000 to $3.19 million.

From drawcard to cautionary tale

The traditional appeal of the Gold Coast — cheaper homes and a relaxed lifestyle — is 'no longer on offer,' Christopher said. The median house price of $1.498 million and unit price of $1.125 million place the city among the nation's most costly. For context, in 2021 a house cost $850,000 and a unit $535,000. The rapid escalation has eroded affordability, even as population growth continues.

What comes next for the Gold Coast

Christopher predicts that prices may continue to ease, though the pace of decline remains uncertain. The combination of high valuations, rising interest rates, and a potential slowdown in migration could accelerate the downturn. Local authorities face pressure to boost housing supply, but new construction has lagged behind demand. The coming months will test whether the Gold Coast can recalibrate without a sharp correction.

A market at a crossroads

The Gold Coast's property story is a cautionary tale of how rapid growth can transform a region's economic landscape. What was once a haven for affordable coastal living has become a symbol of Australia's housing affordability crisis. For residents and policymakers alike, the question is whether the market can find a new equilibrium — or if the boom has permanently reshaped the city's character.

The bottom line

• Gold Coast median house prices nearly doubled from $850,000 in 2021 to $1.498 million in 2025.
• Dwelling prices have fallen 0.6% in the past 90 days, with some suburbs dropping up to 6%.
• Surfers Paradise median price fell $190,000 to $3.19 million.
• Expert Louis Christopher warns prices are 'unsustainable' relative to local incomes.
• The boom was driven by strong population growth and limited new supply.
• The traditional drawcard of affordable homes and lifestyle is no longer available.