Townsville has emerged as one of Australia’s highest-performing property investment hotspots, offering double-digit year-over-year growth and housing prices that are a fraction of similar properties in capital cities.
Beyond its investment performance, Townsville is also popular with investors and new residents alike due to its strong economy in travel and hospitality, defence, renewable energy and maritime logistics.
Townsville Property Market Statistics
Population: 234,283 (ABS, 2021)
Number of private dwellings: 103,968 (ABS, 2021)
Average house price: $579,000 (+21.86% 12-month growth since April 2024)
Median weekly house rent: $520
House rental yield: 4.67%
Average unit price: $350,000 (+23.58% 12-month growth since April 2024)
Median weekly unit rent: $400
Unit rental yield: 5.94%
Vacancy rate: 0.96%
Current Market Outlook in Townsville for 2025
Townsville’s current property market has been on an upward trajectory for well over a year.
In May 2025, Townsville was ranked fifth among Australia’s strongest regions for quarterly house price growth at 2.83% (PropTrack). Even more significant was that Townsville had the highest annual house price growth among the top 10 regions in this list at 21.86%.
In PropTrack’s top 10 list for unit price growth, Townsville showed up again with a 3-month price growth of 2.24% and a 12-month growth rate of 23.58%.
In terms of Townsville’s rental market, the low vacancy rate of 0.96% reflects the high demand and low supply of rental accommodation. As a result of the tight rental market, investors in the region enjoy consistent rental demand at healthy investment yields of 4.67% and 5.94% for houses and units respectively.
Townsville’s Potential for Growth
Townsville's population is expected to hit 265,000 by 2046. Offering a relaxed lifestyle, tropical climate, and affordable cost of living, it's no surprise that an increasing number of Australians are choosing to move to the region.
Townsville’s economy is supported by the North Queensland project pipeline, a $30 billion project that includes defence, health, education, green mineral processing, battery manufacturing, and renewable hydrogen production. The Queensland Resources Common User Facility, a $75 million project also planned for Cleveland Bay Industrial Park, will process critical minerals like vanadium, cobalt, and rare earth elements, making the region more competitive in global markets.
The Townsville City Deal is yet another initiative for the region, aiming to make the city the economic gateway to Asia and Northern Australia, and a global leader in tropical and marine research by 2030. With these initiatives and ongoing investment and natural advantages, Townsville has a high potential for growth for the long term.
Townsville’s Future Property Outlook
Townsville’s property market is expected to continue growing rapidly, alongside the wave of population growth in the region. In 2024, Townsville saw a record increase in population of approximately 3850 new residents, pushing the city’s size to 205,283 people.
The shortage of homes in Townsville remains unaddressed - a recent report in April 2025 by property analyst Michael Matusik showed that the city will need to build more than 9000 new homes in the next 5 years to accommodate its growing population.
This combination is likely to continue putting pressure on Townsville’s housing crisis, pushing up property and rental prices. For investors looking to leverage the region’s consistent performance, Townsville Rentals offers reliable property management in Townsville to help secure quality tenants for consistent rental returns.