Palm Island

Palm Island is positioned among the lower quartile of areas assessed nationally for population growth based on AreaSearch's assessment of recent, and medium term trends

Palm Island's population was estimated at 2,371 as of May 2026, according to AreaSearch analysis of ABS population updates. This showed a 10.9% increase from the 2021 Census figure of 2,138 people. The growth was inferred using ERP data released by the ABS in June 2025 and address validation since the Census date. The population density was calculated at 26 persons per square kilometer. Palm Island's growth rate exceeded that of its SA3 area (3.4%) and SA4 region, making it a growth leader. Natural growth contributed approximately 99% of overall population gains recently.

AreaSearch uses ABS/Geoscience Australia projections for each SA2 area released in 2024 with a base year of 2022. For areas not covered by this data and years post-2032, Queensland State Government's SA2 area projections from 2023 based on 2021 data are adopted, applying proportional growth weightings for age cohorts in line with ABS Greater Capital Region projections released in 2023. Nationally, non-metropolitan areas are projected to have above median population growth, with Palm Island expected to increase by 397 persons to 2041, reflecting a 16.7% gain over the 16-year period.

AreaSearch analysis of residential development drivers sees Palm Island recording a relatively average level of approval activity when compared to local markets analysed countrywide

Palm Island has received approximately 13 dwelling approvals annually based on AreaSearch analysis of ABS building approval numbers. Over the past five financial years, from FY-21 to FY-25, around 69 homes have been approved, with none yet in FY-26.

On average, 0.3 people have moved to the area per dwelling built over these years. This indicates that new construction is meeting or exceeding demand, providing more housing options and potentially driving population growth beyond current expectations. The average construction value of new properties is $351,000. Compared to the rest of Queensland, Palm Island has shown 186.0% higher building activity per person.

Recent building activity consists solely of standalone homes, preserving the area's traditional low-density character and appealing to those seeking spacious family homes. With around 79 people moving in for each dwelling approval, Palm Island exhibits characteristics of a growth area. According to AreaSearch's latest quarterly estimate, Palm Island is projected to gain approximately 397 residents by 2041. Given current construction levels, housing supply should adequately meet demand, creating favourable conditions for buyers and potentially enabling population growth that exceeds current forecasts.

Palm Island has strong levels of nearby infrastructure activity, ranking in the top 30% nationally

No factors influence an area's performance more than changes to local infrastructure, major projects, and planning initiatives. AreaSearch has identified a total of 0 projects that could impact the area. Key projects include the Bruce Highway (Townsville-Ingham) upgrade program, North and Far North Queensland REZs, Queensland National Land Transport Network Maintenance, and the Queensland Energy Roadmap - SuperGrid Infrastructure Program. The following list details those most likely to be relevant.

Professional plan users can use the search below to filter and access additional projects.

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Employment conditions in Palm Island face significant challenges, ranking among the bottom 10% of areas assessed nationally

Palm Island's workforce is balanced across white and blue-collar jobs, with essential services well-represented. As of December 2025, the unemployment rate was 72.9%, according to AreaSearch's statistical area data aggregation. There were 120 residents employed at this time, while the unemployment rate was 68.9% higher than Regional Qld's rate of 4%.

Workforce participation on Palm Island lagged significantly at 26.7%, compared to Regional Qld's 64.5%. Census responses indicated that only 0.9% of residents worked from home, though Covid-19 lockdown impacts should be considered. The leading employment industries among residents were health care & social assistance, education & training, and public administration & safety. Palm Island had a particular specialization in health care & social assistance, with an employment share twice the regional level.

Conversely, construction showed lower representation at 2.4%, compared to the regional average of 10.1%. The predominantly residential area appeared to offer limited local employment opportunities, as indicated by the count of Census working population versus resident population. Between December 2024 and December 2025, the labour force increased by 0.7% while employment declined by 29.8%, causing the unemployment rate to rise by 11.8 percentage points. This contrasted with Regional Qld, where employment rose by 0.7%, the labour force grew by 1.0%, and unemployment rose by 0.3 percentage points. Jobs and Skills Australia's national employment forecasts from May-25 offered further insight into potential future demand within Palm Island. These projections suggested that national employment would expand by 6.6% over five years and 13.7% over ten years. However, growth rates differed significantly between industry sectors. Applying these industry-specific projections to Palm Island's employment mix suggested that local employment should increase by 7.7% over five years and 16.0% over ten years.

Income figures position the area below 75% of locations analysed nationally by AreaSearch

As per AreaSearch's latest postcode level ATO data released for financial year 2023, Palm Island's median income among taxpayers is $52,258. The average income in the suburb is $63,468. This is below the national average. In comparison, Regional Qld has a median income of $53,146 and an average of $66,593. Based on Wage Price Index growth of 11.36% since financial year 2023, current estimates for Palm Island would be approximately $58,195 (median) and $70,678 (average) as of March 2026. Census data shows that household, family, and personal incomes in Palm Island all fall between the 1st and 2nd percentiles nationally. Regarding income distribution, 27.3% of the community earns between $400 - 799 (647 individuals), unlike broader area trends where 31.7% fall within the $1,500 - 2,999 range. The prevalence of lower-income residents (40.4% under $800/week) suggests constrained household budgets across much of the district. While housing costs are modest with 87.4% of income retained, total disposable income ranks at just the 5th percentile nationally.

Palm Island is characterized by a predominantly suburban housing profile, with a higher proportion of rental properties than the broader region

Dwelling structure in Palm Island, as evaluated at the latest Census, comprised 87.9% houses and 12.1% other dwellings. In comparison, Regional Qld had 76.4% houses and 23.6% other dwellings. Home ownership on Palm Island was 2.2%, with mortgaged dwellings at 0.0% and rented dwellings at 97.8%. The median monthly mortgage repayment was $2,167, higher than Regional Qld's average of $1,655. The median weekly rent on Palm Island was $125, lower than Regional Qld's figure of $345 and the national average of $375. Nationally, Palm Island's mortgage repayments were significantly higher at $2,167 compared to the Australian average of $1,863.

Palm Island has a typical household mix, with a higher-than-average median household size

Family households account for 75.9% of all households, including 27.6% couples with children, 11.2% couples without children, and 30.0% single parent families. Non-family households constitute the remaining 24.1%, with lone person households making up 21.1% and group households comprising 3.7%. The median household size is 3.7 people, which is larger than the Regional Queensland average of 2.5.

Palm Island faces educational challenges, with performance metrics placing it in the bottom quartile of areas assessed nationally

The area's university qualification rate is 7.3%, significantly lower than the Australian average of 30.4%. This disparity presents both a challenge and an opportunity for targeted educational initiatives. Bachelor degrees are the most common at 4.9%, followed by postgraduate qualifications (1.4%) and graduate diplomas (1.0%). Vocational pathways account for 22.6% of qualifications among those aged 15 and above, with advanced diplomas at 4.5% and certificates at 18.1%.

Educational participation is high, with 30.3% of residents currently enrolled in formal education. This includes 21.0% in primary education, 6.4% in secondary education, and 0.5% pursuing tertiary education.

No public transport data available for this catchment area.

Health performance in Palm Island is lower than average with common health conditions somewhat prevalent across both younger and older age cohorts

Palm Island faces significant health challenges based on AreaSearch's assessment.

Mortality rates and chronic condition prevalence were found to be common across both younger and older age cohorts. Private health cover was present at approximately 52% of the total population (~1,241 people), slightly higher than the average SA2 area. The most prevalent medical conditions were diabetes (7.2%) and heart disease (4.3%). However, 83.9% of residents declared themselves completely clear of medical ailments compared to 67.6% across Regional Qld. Working-age residents had low chronic condition prevalence. The area has 7.4% of residents aged 65 and over (175 people), lower than the 20.4% in Regional Qld. Health outcomes among seniors were above average, with national rankings higher than the general population.

In terms of cultural diversity, Palm Island records figures broadly comparable to the national average, as found in AreaSearch's assessment of a number of language and cultural background related metrics

Palm Island's cultural diversity aligns with its wider region's average. Its population comprises 93.2% citizens, 97.8% born in Australia, and 56.7% speaking English only at home. Christianity is the predominant religion on Palm Island, practiced by 81.7%, compared to 52.2% across Regional Qld.

In terms of ancestry, Australian Aboriginal makes up 72.6%, Other 16.4%, and Australian 4.6%. These figures contrast with regional averages: 3.9% for Australian Aboriginal, 6.9% for Other, and 26.5% for Australian.

Palm Island hosts a very young demographic, ranking in the bottom 10% of areas nationwide

Palm Island's median age stands at 27 years, which is notably lower than the Regional Queensland average of 41 and significantly below the Australian median of 38. Compared to Regional Queensland, Palm Island has a higher concentration of residents aged 5-14 (19.4%), but fewer individuals aged 65-74 (5.2%). This 5-14 age group is well above the national average of 12.0%. Since 2021, the population aged 35 to 44 has grown from 11.1% to 12.9%, while the 75 to 84 cohort increased from 0.9% to 2.2%. Conversely, the 45 to 54 age group declined from 11.6% to 9.0%, and the 15 to 24 group dropped from 16.0% to 14.1%. By 2041, demographic modeling suggests Palm Island's age profile will evolve significantly. The 25 to 34 age cohort is projected to grow steadily, expanding by 115 people (30%) from 391 to 507. Conversely, the 5 to 14 cohort is projected to decline by 6 people.