The REIQ March quarter median unit and townhouse prices show not only steady prices in most areas but also modest increases in sales numbers.

Demand from first home buyers continues to underpin this segment of the market.

“Units and townhouses are remaining popular due to their affordability and because they are often more centrally located,” REIQ chairman Peter McGrath said.

Sales numbers were up in Brisbane and on the Gold and Sunshine coasts particularly, while median prices were on the increase in Townsville, Mackay, Gladstone and the Sunshine Coast.

While the top end of the residential house market has struggled over recent times, there are signs that this segment of the unit and townhouse market is showing signs of life, particularly on the Gold Coast.

“The top end of the market is becoming increasingly popular as buyers take advantages of some good opportunities,” he said.

Units and townhouses in prime Gold Coast waterfront suburbs such as Broadbeach, Burleigh Heads, Tugun and Surfers Paradise all recorded very healthy median price increases over the period.

“These waterfront locations have staged a comeback. There has been a good volume of sales in response to some very good buying opportunities,” he said.

“This segment of the unit and townhouse market has adjusted to the market conditions and is certainly reaping the benefits.”

Over the March quarter, 2.3 per cent of all unit and townhouse sales in Queensland were for more than $1 million compared to 1 per cent of all house sales on land less than 2,400sqm over the same period.