Nelly Bay
With a median age of 56, Nelly Bay sits 16 years above the national figure, making it one of Queensland's most distinctly retired coastal communities. Household income sits in the 12.8th percentile nationally, reflecting a population that skews toward retirees and part-time workers rather than full-time earners. Just 1,213 residents live within 4.67 square kilometres, and 47.8% own their homes outright, well above typical Australian rates.
Population
1,213
Median Age
56.0
Household IncomeiMedian weekly household income (ABS Census)
$1,003/wk
DAs (12 months)iDevelopment Applications lodged in the past year
2
Separate houses dominate at 82.3% of dwellings, with apartments at just 9.4%, so buyers have reasonable choice of freestanding stock. The most common bedroom count is 3 bedrooms at 46.8%, followed by 2 bedrooms at 31.9%. Monthly mortgage repayments average $1,470, but the mortgage-to-income ratio reaches 33.8%, above the 30% stress threshold, because household income sits in only the 12.8th income percentile nationally. The 53.9% of families who are couples without children reflects a retirement-oriented buyer profile rather than young families.
For Buyers
Separate houses dominate at 82.3% of dwellings, with apartments at just 9.4%, so buyers have reasonable choice of freestanding stock. The most common bedroom count is 3 bedrooms at 46.8%, followed by 2 bedrooms at 31.9%. Monthly mortgage repayments average $1,470, but the mortgage-to-income ratio reaches 33.8%, above the 30% stress threshold, because household income sits in only the 12.8th income percentile nationally. The 53.9% of families who are couples without children reflects a retirement-oriented buyer profile rather than young families.
For Investors
A vacancy rate of 22.2% stands well above typical healthy market levels of 2-3%, signalling oversupply that will pressure rents and limit short-term capital growth. The renter share is 28.3%, a reasonable tenant base for an island suburb. Only 2 development applications were lodged in the past 12 months, indicating limited new supply risk but also thin market activity. The participation rate of 44.1% is low compared to national norms because the aging population reduces the working-age base, constraining rental demand growth.
Development Activity
Total DAs
2
Last 12 Months
2
YoY ChangeiYear-over-year change in DA lodgements
—
Avg DA CostiAverage estimated cost per DA in the past year
N/A
Monthly DA Lodgements
DA Categories
Schools in Nelly Bay iICSEA: school advantage index. 1000 = national avg, higher = more advantaged
Magnetic Island State School
Prep-6 · 123 students
Demographics
The median age of 56 is 16 years above the national figure, placing Nelly Bay firmly among Australia's oldest suburb profiles. Overseas-born residents account for 29.5%, which is 7.9 percentage points above the national average, with ancestry dominated by English (514), Irish (197) and Scottish (134) backgrounds. University qualifications reach 33.1%, roughly 3 percentage points above the national rate, suggesting a modestly well-educated retiree and professional base. Average household size is 2.0, which is 0.5 below the national figure, consistent with couples-without-children households forming 53.9% of all families. The volunteering rate of 23.5% is notably high, reflecting the community engagement typical of retiree-heavy populations.
Age Distribution
Bedrooms
Dwelling Structure
82.3%
Houses
6.8%
Townhouse
9.4%
Apartment
Tenure
Tenure structure skews heavily toward outright ownership: 47.8% own outright, 24.0% carry a mortgage, and 28.3% rent. That high outright-ownership rate is characteristic of a suburb where long-term residents have paid off homes over decades. Separate houses make up 82.3% of the stock, higher than typical urban Queensland suburbs, while apartments are just 9.4%. Three-bedroom homes dominate at 46.8%, followed by 2-bedroom at 31.9% and 4-plus bedroom at 16.5%. The rent-to-income ratio of 29.9% sits just below the 30% stress threshold, while mortgage-to-income at 33.8% is above it, meaning buyers face more pressure than renters at current income levels in the 12.8th percentile nationally.
Mortgage / mo
$1,470
Rent / wkiABS Census 2021 median across all dwelling types. Current market rents are typically higher.
$300
Census 2021
HH Size
2.0
Personal Income / wk
$634
Vacancy Ratei% of dwellings unoccupied on Census night (ABS 2021)
22.2%
Unoccupied
138
Rent / IncomeiMedian rent as % of household income. Over 30% = housing stress
29.9%
Mortgage / IncomeiMedian mortgage as % of household income. Over 30% = housing stress
33.8% stressed
Community Profile
Ancestry
Household Composition
53.9%
Couples, no children
705
Total families
Economy & Employment
Hospitality leads employment at 17.1% of workers (57 people), reflecting the island's tourism and accommodation economy, followed by Education at 13.5% (45) and Healthcare at 11.7% (39). By occupation, Professionals (106) and Managers (88) are the top two groups, consistent with the above-national university qualification rate of 33.1%. The unemployment rate is 5.2%, and the participation rate of 44.1% is low relative to national norms because 449 residents are not in the labour force, reflecting the retired population. Full-time employment accounts for 55.0% of employed people, with the part-time share (205 workers) indicating the part-seasonal nature of island hospitality and services jobs.
Socio-Economic Indexes (SEIFA)iABS index ranking suburbs from 1 (most disadvantaged) to 10 (most advantaged)
Full-time
55.0%
Part-time
39.8%
Participation
44.1%
Employed
456
Occupations
Top Industries
University
33.1%
Postgraduate
10.0%
Born Overseas
29.5%
Dwellings
487
Transport to Work
Active transport use is unusually high for Queensland: 31.4% of residents walk or cycle as their main mode, far above the national average, because the compact island geography of Magnetic Island makes car-free movement practical. Only 3.8% use public transport and 55.7% drive. The need-for-assistance rate of 7.8% (86 people) is elevated relative to the suburb's 1,213 population, consistent with the aging profile where a median age of 56 brings higher care needs. The volunteering rate of 23.5% reflects strong community participation typical of retiree-oriented coastal communities.
Drive
55.7%
Public Transport
3.8%
Walk / Cycle
31.4%
Work from Home
N/A
National Ranking iPercentile rank among ~15,000 AU suburbs. 90% = higher than 90% of suburbs
How Nelly Bay compares to ~15,000 Australian suburbs
Frequently Asked Questions
Is Nelly Bay a good suburb to live in?
Nelly Bay suits retirees and those seeking an island lifestyle on Magnetic Island.
What is the median house price in Nelly Bay?
Weekly rents average $300, and monthly mortgage repayments run about $1,470. The mortgage-to-income ratio of 33.8% is above the 30% stress threshold, because local incomes are below average at the 12.8th percentile nationally.
What schools are in Nelly Bay?
Families with school-age children typically access schools elsewhere on Magnetic Island or in Townsville across the water. The local population has a university qualification rate of 33.1%, which is around 3 points above the national figure.
Is Nelly Bay safe?
Detailed crime statistics are not available for Nelly Bay in this dataset. As an indirect indicator, the suburb has a population of only 1,213 people spread across 4.67 square kilometres, and a volunteering rate of 23.5%, both consistent with a connected, low-density community. The aging median age of 56 also reflects a settled, long-term resident base.
Is Nelly Bay good for property investment?
The investment case is mixed. Only 2 development applications were lodged in the past 12 months, and the participation rate of 44.1% limits organic rental demand growth from the local workforce.
How is Nelly Bay's population changing?
Nelly Bay has a small population of 1,213 residents and a development pipeline of just 2 applications in the past 12 months, suggesting limited near-term growth. The turnover rate of 30.7% shows that about 1 in 3 residents arrived within the prior 5 years, indicating a steady flow of new arrivals even in a stable-sized community. The aging profile, with a median age of 56 that is 16 years above national, points to continued retirement-driven migration rather than family-based growth.
How to read these comparisons
Phrases like "above the national average" reference the unweighted median across Australian suburbs with more than 1,000 residents, not population-weighted national figures. Suburb-level medians are more useful for ranking suburbs against each other; ABS census headlines are population-weighted (so dominated by Sydney and Melbourne) and can read very differently.
Current baseline (refreshed 2026-05-10): median age 40, university-educated 30.1%, born overseas 21.6%, average household size 2.5 people.
Data sources: ABS 2021 Census (demographics, income, tenure), state Valuer-General (house prices), Department of Jobs SALM (unemployment), ACARA (school ICSEA), state Crime Statistics agencies (offences), council DA portals (development applications). Population forecasts use a Hamilton-Perry cohort model calibrated to ABS ERP.
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