Upgraders in the Northern Territory are driving up Darwin’s median house price.
Raine & Horne Darwin reports inner Darwin suburbs such as Moil, The Narrows, Wagaman, and Alawa are attracting Darwin upgraders looking for proximity to the city’s beaches but at a discount to prices expected for waterfronts in Fannie Bay and Nightcliff.
“There was a fall in Darwin’s sales volumes in the first quarter of 2019, however the supply shortage has enabled the city’s median house price to sneak back towards $500,000,” Glenn Grantham, General Manager of Raine & Horne Darwin said.
“As a result, suburbs such as Alawa, Moil and Wagaman in the inner north are appealing to more upsizers seeking value.
“In these suburbs it’s possible to secure contemporary three and four-bedroom houses for around $450,000 where a few minutes to the east, a similar property in Nightcliff or Fannie Bay will set buyers back significantly more.”
Mr Grantham said there are a lot of people looking for reasonably sized and priced properties in Darwin’s central and inner northern suburbs, which are located close to the waterfront suburbs.
Longer-term, Mr Grantham said that now the moratorium on fracking was almost over, the construction of several gas fracturing facilities could potentially drive long-term demand for property in Darwin.
“There are some pundits suggesting that the construction and maintenance of fracking facilities could require an additional 10,000 workers to relocate to the Northern Territory capital,” Mr Grantham noted.
For example, Origin’s Beetaloo project located six hours’ drive south of Darwin, near the town of Daly Waters, could bring important employment opportunities to the Territory’s economy, eventually supporting around 950 ongoing jobs after construction and ramp up.
“Jobs not only drive the economy, but more workers will need to rent or buy properties in Darwin, which will support long-term demand, rents and capital growth for our real estate markets,” Mr Grantham said.
