New data by a property analyst and buyer’s agency business has found 40 affordable areas set for growth across Australia where investors can get more bang for their buck and faster than most areas to boot.
Propertyology’s analysis of the current market landscape has identified 40 key affordable areas that are predicted to see further growth by looking at improving times on market and sales volume.
“There are locations in every state where buyer activity is increasing and properties are selling faster,” said Propertyology head of research and managing director Simon Pressley.
“In some cases, this activity has already created price growth and in others it’s only a matter of time.” More growth-prone areas were found to be the more affordable areas, which Mr Pressley said is a key to long-term growth.
Clarence in Tasmania was the fastest selling region by far with an average time on market of only 10 days, a reduction of 60 per cent compared to last year. Previously, Tasmania has been identified as a high-growth area, as identified by Propertyology.
“Buoyed by a strong economy, properties in metropolitan Hobart, already Australia’s hottest property market for the last two years, are selling within seven to 10 days of being listed,” Mr Pressley said. Looking to the regional areas, Mr Pressley said that the Burnie and Devonport areas have also seen a rise of sales volumes at 7 per cent and 11 per cent, respectively, and a decline of days on market at 17 per cent to 49 days and 35 per cent to 61 per cent, respectively, which he believes will lead to a future price growth.
Queensland also saw great results, with five areas seeing tighter days on market statistics. The Gold Coast, in particular, Mr Pressley pointed out, saw a 31 per cent reduction of days on market. “Of the five city councils that make up Greater Brisbane, the outer-east municipality of Redland has produced the biggest improvement in selling time (a 37 per cent increase over the last 12 months, down to an average 38 days),” the expert said. “Improved buyer activity is occurring in regional Queensland, with data pointing towards a tightening market in Cairns, Hervey Bay, Mackay and the Gold Coast. “The major project pipeline in the tropical wonderland is exciting for employment growth, housing supply is already tight and we are now seeing a reduction in selling time.”
“Adelaide Hills plus middle-ring city councils such as Marion, , West Torrens and have already produced a combination of increased sales volumes and a significant reduction in days on market,” Mr Pressley said.
Some Western Australian regional areas have seen their markets improve more than due to the stabilising economy. “Properties are selling much quicker now than a year ago in the lifestyle market of Broome, Busselton in the south, and both Karratha and Port Hedland in the Pilbara,” Mr Pressley pointed out.
“Victorian markets that are tightening most include strong regional centres such as Ballarat and Shepparton along with Melbourne’s outer-east (Frankston, Dandenong, and Cardinia) and outer-north (Hume, Mitchell and Macedon Ranges),” Mr Pressley said.
New South Wales
Orange is a particularly impressive market for Mr Pressley, as sale volumes have risen by 13 per cent, and days on market have fallen by 23 per cent. “Regional hubs throughout Hunter Valley are also tightening. While locations such as , Cessnock and Port Stephens have already seen good price growth, recent data points towards much improved activity in both Muswellbrook and Singleton where a typical house only costs $300,000,” the expert said.
The full list of the 40 tightening markets, according to Propertyology can be found here