More of the nation’s regions have progressed into positive property value territory, according to the latest findings from Herron Todd White.
This week their market data indicates housing in Canberra and the New South Wales central west continues to sit at the peak of the property market, while Sydney, the Sunshine Coast, Gold Coast and Rockhampton are fresh faces on the rise.
The view from the top
According to the latest month in review from Herron Todd White, Canberra, Bathurst, Albury, Dubbo and Tamworth currently sit at the top of the property clock.
That signals no new entries to the peak of the market, but amidst positive lending conditions and renewed market vigor a wealth of areas have begun to rise.
Not so lucky are areas like Wodonga, on the Victoria/NSW border,which is beginning to decline, while in the west, Kalgoorlie has entered decline, and Broome and Geraldton are reaching the bottom of market conditions.
Room for improvement
At the base of the property clock is Darwin and Alice Springs, along with the NSW Central Coast and Southern Tablelands, the Queensland suburbs of Ipswich and Toowoomba, and WA’s capital Perth.
Elsewhere, market conditions showed improved potential particularly in South Australia.
Adelaide, Adelaide Hills, and the Barossa Valley were new to the ‘start of recovery’ arena along with the Southern Highlands of NSW.
They joined the likes of Ballina/Byron Bay, Brisbane, Bundaberg, Cairns, Coffs Harbour, Geelong, Gladstone, Illawarra, Lismore, Mackay, Melbourne, Port Hedland, Townsville and Whitsunday in a quadrant that illustrates much of Northern NSW and regional Queensland is finally enjoying improved market conditions.
Queensland and SA also dominated the rising market sector, with Sydney, the Sunshine Coast, Gold Coast and Rockhampton among the new areas added to the rising list.
Burnie/Devenport, Emerald, Hervey Bay, Hobart, Karratha, Launceston, Mildura, Mount Gambier Rockhampton, and Shepparton also continued to hold steady in an established rising market sector.
Units mirror the trend
To a large degree, units mirrored the rise and fall trend of the region’s housing, with a few notable exceptions.
Canberra units were in decline, along with most of WA. The Whitsundays remained at the bottom of the property clock in Queensland, while the Gold Coast was just starting to enter positive territory and Port Hedland units (the exception to the WA rule) were rising.
The Sydney shift
With a focus this month on buyers, Herron Todd White noted Metropolitan Sydney continued to change and adapt to accommodate an ever-increasing population.
“Over the past five to 10 years in particular, we have seen shifts in demand for various styles of housing driven by different sectors of the market,” the report reflected.
“In general, there has been a trend towards smaller, low maintenance property both in terms of improvements and land size.”
This shift is driven by two polar opposite ends of the market – young professionals or new families, and empty nesters. Meanwhile, flexible workplaces and increased technology also played a role, particularly in outlying areas.
“The Blue Mountains for example continues to attract families and professionals from the Sydney basin. With large family dwellings and large garden blocks available for the cost of a unit in many areas, people are relocating to get more bang for their buck and take advantage of flexible working arrangements,” the report said.
“In some instances, people are relocating further afield to larger regional towns such as Bathurst or Orange.”
For the full report please click here