Josh Stanton | AAPI CPV
Certified Practising Valuer

G’day everyone, and welcome to the Opteon Gladstone Half Time Residential Market Review for 2026, authored by Josh Stanton – Opteon Residential Valuer of the Year 2024 and two-time API Regional Valuer of the Year finalist.

This edition marks the 10th edition of the Opteon Gladstone Half/Full Time Review Series, which first began in 2019. Thank you to everyone who has shared this document over the years and helped make it a valuable resource for the community. Thanks also for the many phone calls and emails providing feedback on the reviews and asking when the next one will be released. The support means the world to me.

I’ve certainly been busy since the last review. I had the pleasure of running free valuation workshops in Papua New Guinea in late March and early April this year, speaking on a variety of property valuation topics to audiences in Lae and Port Moresby, with the sponsorship of several large businesses in the country and the PNG Institute of Valuers and Land Administrators. I followed this up with a second public speaking engagement, presenting to first home buyers at an Indigenous Business Australia workshop in Gladstone in May, before serving as MC for the Gladstone Amateur Boxing Club fight night in mid-June.

A lot has also happened in the Gladstone residential property market since the last review, and we’ll unpack the performance of the land, strata, dwelling and rental market throughout this edition.

A key date was 12 May, when the Federal Budget announced significant changes relating to negative gearing, capital gains tax treatment and purchasing through SMSFs. This has brought volumes to a halt, with a small decrease in values evident since this date. It is unknown what impact these changes will have on the local market going forward, as significant investor activity - around 60% of total transactions - has been commonplace over the previous four years.

However, Gladstone is moving into a new era as a lifestyle destination, with significant positive developments in the green energy sector, as well as community infrastructure projects including Auckland Hill, the $30 million Boyne Island Aquatic Centre currently under construction, and various other lifestyle-related developments such as the 100-unit Flinders Village Retirement Village in Tannum Sands, fitness studios and wellness centres.

If you enjoy these reviews or would like to be added to the distribution list, feel free to connect with me on LinkedIn or via Facebook at Gladstone Property Valuer.

Cover image: Tannum Sands Beach – Courtesy Gladstone Real Estate Photography

DWELLINGS

Current Conditions & Market Dynamics

• Local owner-occupiers continue to underpin the market, particularly those upgrading their principal place of residence.

• Analysis of March and April sales indicates investors accounted for approximately 58% of purchasers, highlighting the continued importance of investor demand within the Gladstone market.

• 569 dwelling sales were recorded during the first half of 2026.

• Investor and buyer’s agent enquiry has moderated following three years of strong capital growth, although demand remains healthy for well-presented properties below approximately $650,000.

• Entry-level dwellings around the $450,000 price point requiring minimal immediate capital expenditure remain highly sought after.

• Rental yields have eased slightly as values have continued to rise, while vacancy rates have tightened marginally to approximately 1.5%.

• Residential construction costs have increased by approximately 9% over the past 12 months, with limited local building capacity resulting in contractors from Rockhampton and Yeppoon undertaking an increasing share of new work.

• Ancillary improvements such as sheds, side access and additional storage continue to command notable price premiums.

• Approximately 20–25% of residential transactions continue to occur off-market.

• Local builders and trades continue to report strong forward workloads, supporting ongoing residential construction activity.

• Sales above the $1 million mark are becoming increasingly common, extending beyond rural residential properties into prestige residential housing. Local buyers continue to demonstrate confidence in the upper end of the market.

• The Federal Budget handed down on 12 May 2026 proposed significant changes to negative gearing, capital gains tax and borrowing through Self-Managed Super Funds (SMSFs) for residential property investment.

• Given investors have accounted for approximately 60% of residential purchases over the past four years, the proposed reforms have the potential to materially influence the Gladstone market.

• Analysis undertaken for this review indicates that prior to the Budget announcement, the median dwelling value within the 4680 postcode was $650,000. Sales recorded between 13 May and 30 June 2026 indicate a revised median of $630,000, representing a 3.1% decline.

• Over the same period, the average daily rate of residential sales decreased by approximately 45%, suggesting many purchasers adopted a wait-and-see approach following the announcement.

•  While it remains too early to determine the long-term impact of the reforms, reduced investor participation has the potential to place downward pressure on transaction volumes and moderate price growth if sustained over an extended period.

• Increase in multi-unit dwelling sales (duplexes/flats complexes) with yields tightening to the circa 5.5-7% range. 
  

Market Insight

Gladstone’s residential market remains fundamentally strong, underpinned by improving economic conditions, historically low unemployment and significant public and private sector investment. However, the pace of growth has moderated following the Federal Budget announcement, with investor activity easing from the exceptionally strong conditions experienced between 2023 and 2025. The market now appears to be transitioning towards a more balanced phase, where future price growth is likely to be more measured and increasingly dependent on owner-occupier demand and the region’s underlying economic performance.

Figure 2: Gladstone 4680 dwelling sales and growth over the last 2.5 years. Source: Pricefinde

(Aerial View of West Gladstone/Kin Kora – Courtesy Gladstone Real Estate Photography)

RENTS

• Vacancy rate remains tight at 2.1%, up slightly from 1.8% in the second half of 2025 with some larger agencies reporting an in office 0.5% vacancy rate.

• Rents have stabilised across most segments with some marginal low single digit growth, following 5+ years of sustained growth.

• Bonds lodged have significantly decreased year-on-year by 35% possibly indicating tenants renewing in the same property rather than starting a new tenancy elsewhere.
  

• Tenant demand strongest for:

•  3-bedroom houses

•  4-bedroom houses

• Supply dynamics:

• Increased rental stock from investor settlements of former owner-occupiers particularly for 3 bedroom homes. Increasing population to the Gladstone Region requiring rental accommodation.

Market Insight

Rental growth in Gladstone is moderating after several years of strong increases. Tight vacancy rates continue to support rental prices, but increased stock from investor turnover and government housing initiatives is helping to keep rents relatively affordable compared with other Central Queensland markets. Demand remains strongest for larger dwellings, particularly 3 and 4 bedroom houses, reflecting local family rental needs.

Table 1: Rental performance in Gladstone (Data from Residential Tenancy Authority – rta.qld.gov.au)

Table 2: Median rents in Central Queensland.

Gladstone sits at the cheapest median rental market among the listed Central QLD locations, by 3.8% for 3-bedroom houses and 6.5% for 4-bedroom houses by comparison to the next cheapest market being the in-land mining city of Emerald.

STRATA

The Gladstone strata market isn’t fully back to the highs of 2012, but it is trending positively. Increasingly, a diverse range of participants are taking advantage of opportunities in the segment, including first home buyers, downsizers, and investors.

The median strata value is now $415,000, still trading below the median for detached dwellings ($645,000). The gap now sits at a 35.7% discount for the median of strata products in the Gladstone region.

Sales Activity

• A total of 182 sales were recorded over the second half of 2025, representing a 16.1% decline in volumes compared to the second half of 2025.

Current Conditions & Market Dynamics

• Locals are purchasing strata units in greater numbers.

• Sale prices remain below replacement costs, providing value to buyers.

• Half-yearly median growth of 12.2% demonstrates ongoing upward momentum.

• Median prices by unit type:

• 2-bedroom strata: $350,000 (up 9.2% half year)

• 3-bedroom strata: $461,000 (up 8.5% half year)

• Lifestyle amenities, such as gated complexes and pools, are attracting quicker sales.

Average days on market: 30 days.

• The market exhibits strong price-point concentration, with the majority of transactions occurring between $300,000 and $500,000. Limited activity (26% volume) is observed outside this range.

Market Insight

Gladstone’s strata market is steadily recovering but still sits at a significant discount to dwellings as well as its market peak in 2012. Current values represent below replacement cost buying opportunities for investors and first home buyers as well as downsizers.Figure 1: Gladstone 4680 strata sales and growth over the last 10 years. Source: Pricefinder.

(Courtesy Gladstone Real Estate Photography)

LAND

Vacant Land – First Half 2026

A total of 57 vacant land sales transacted in the first half of 2026, representing a 43% decrease on the second half of 2025. It is worth noting there was a spike in the second half data compared to longer term averages due to a number of settlements occurring in the Riverstone Rise development in Boyne Island.

Up to 1,500 sqm lots

• 45 sales ranging from 381–1,375 sqm, with sale prices from $61,000–$385,000.

• Median $/sqm: $261 | Median lot size: 803 sqm

Median - $209,925. (Up 5.5% half year

1,500 sqm+ / Rural Residential lots

• 16 sales ranging from 1,522–58,300 sqm, with sale prices from $125,000–$400,000.

• Median $/sqm: $63.93 | Median lot size: 5,318 sqm

Median - $340,500 (Up 19.5% half year)

Current Conditions & Key Developments

• Small land release at Vantage Estate, New Auckland.

• New land release at Cole Ridge Estate, Calliope of approximately 64 titled residential allotments

• Ongoing earthworks and development of future stages at Riverstone Rise following Stage 3 completion with approximately 120 allotments available.

• The median land value increased by 5.6% across all sales over the half year but up 10.3% YOY. This follows on from the market achieving a $200,000 plus median vacant land value late last year after 10 years below this metric.

Average days to sell for vacant land is 157 days.

• Strong dwelling and strata values continue to support land prices, despite rising construction costs.

11 total sales of blocks ranging in size from 1,513 sqm to 7,358 sqm show sale prices ranging from $151,000 to $500,000

Josh Stanton
Certified Practising Valuer
josh.stanton@opteonsolutions.com
0448 666 333

DISCLAIMER
This article is produced by Opteon Property Group Pty Ltd. It is intended to provide general information in summary form on valuation related topics, current at the time of first publication. The contents do not constitute advice and should not be relied upon as such. Formal advice should be sought in particular matters. Opteon’s valuers are qualified, experienced and certified to provide market value valuations of your property. Opteon does not provide accounting, specialist tax or financial advice.

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