Australia’s regional property markets are continuing to outpace capital cities, according to CoreLogic’s latest Quarterly Regional Market Update.

The report highlights that regional centres in Queensland and Western Australia dominate the top-performing areas.

Mackay in Central Queensland led the pack with an 8.3% growth in dwelling values for the quarter, followed by Geraldton in Western Australia at 8.2% and Townsville in Queensland at 6.6%.

CoreLogic economist Kaytlin Ezzy attributes this impressive growth to affordability and lifestyle appeal.

“Mackay, Geraldton, and Townsville offer significant affordability advantages compared to major cities, with median prices under $600,000, making them attainable for those able to service a mortgage,” she says.

Regional dwelling values increased by 1.1% in the three months to October, outpacing the 0.8% growth recorded in the combined capital cities.

Properties also sold quickly in some regions, with Bunbury in Western Australia achieving the fastest sales, averaging just 13 days on the market.

The report also analysed long-term trends, showing Busselton leading the way in five-year dwelling value growth with a 91% increase, followed by Maryborough at 90.3% and Bundaberg at 90.1%.

On the rental side, Gladstone recorded the highest growth, with rents rising 81.6% over the past five years.