Look outside the ‘big smoke’
There’s more to real estate than property in capital city markets although so much of the investor focus still seems to be there. At times, even the outer suburbs are overlooked.
Buyers might be doing themselves a disservice by not looking at regional centres and the extremities of a state or territory’s capital.
And when you are talking about real estate in Australia, it certainly depends on which property market you’re talking about. Some are clearly performing better than others. The markets of Sydney and Melbourne are currently following a downward trend. It’s been reported that Australian home values overall have returned to levels last seen in September 2016.
It is possible that property investors can enjoy continuous growth on their properties outside the big, slowing markets; and for regional markets to offer stable property values and long-term high returns.
Markets mentioned recently as worth consideration – and where medians are sub-$500,000 – include in Queensland, Petrie (in Moreton Bay, one of Australia’s fastest growing regions) and Ipswich (and the suburb of Raceview in particular). Other Queensland locations to watch are Toowoomba’s western suburbs, Cairns, Townsville and most of the regional cities down the coast. Once you hit the Sunshine Coast, and Gold Coast, it is harder to find markets where the median is nearing $500,00 or below.
In New South Wales, Sydney’s west should be on the radar – Parramatta, Liverpool and Blacktown – and consider commuter towns and regional areas like Newcastle, Wollongong and Central Coast.
In Victoria, Grovedale and Newcomb in Geelong, Wyndham Vale, Frankston North, and Rothwell on the Mornington Peninsula have all been mentioned for their sub-$500k medians. Port Adelaide seems the market to watch in South Australia.
Factors influencing property growth include the health and diversity of local economy, population and jobs growth, the level of housing supply and housing affordability.
Recognising the importance of gainful employment for the home owner, and critical to any one with home loan repayments, suburbs well away from the city centre, outlying towns and regional centres often have appeal through lifestyle as well as affordability.
Employment opportunities and essential infrastructure are boxes to tick for both the owner occupier and the investor, but if buyers do their research and look at each market based on its own merit, they may open themselves to some wonderful opportunities.
Media contact:
Lyn Cox, Public Relations – M. +61 418 793 096, E. lcox@remax.com.au
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