Local Real Estate News.
With a strong Winter selling season nearly behind us confidence is building for what is promising to be an exceptional Spring in the local property market. With
longer days, warmer weather and a shortage of stock, the Upper Mountains property market has all the right ingredients and ideal selling conditions for a strong Spring selling season.
Which suburb is showing the strongest growth so far this year?
The standout suburb for growth so far this year is Katoomba with a 21% increase in the median house price, followed by Mt Victoria at 20.7%. Leura has showed the lowest price growth at only 1.8%. (Source:PriceFinder)
Suburb – Median Price – Growth
Blackheath – $600,000 – 13.4%
Medlow Bath – $530,000 – 8.2%
Mount Victoria – $550,000 – 20.7%
Katoomba – $610,000 – 21%
Leura – $717,000 – 1.8%
Wentworth Falls – $695,000 – 10.8%
National Real Estate News.
Who owns all the rental properties?
Contrary to popular belief most residential investors in Australia are not wealthy property speculators or foreign nationals.
In reality, Australia’s residential investment market is dominated by people who, having bought their own home, have moved onto buying an investment property. These small-scale investors own 83 per cent of all investment properties. (Source: domain.com.au
With home ownership rates in Australia at around 70 per cent, the Australian Bureau of Statistics (ABS) reports that residential investment represents, on average, 35 per cent of all housing finance, while the rest are all owner-occupiers.
What is the state of the rental market?
The average rent in Australia rose by just 0.6 per cent over the last year, according to official inflation data. That’s less than consumer price inflation, and less than wage growth.
If you are a renter in Darwin, or especially in Perth, your rent is getting cheaper even without having to adjust for inflation.
Rents are a great barometer of that fundamental supply and demand. In Perth and Darwin, demand is dwindling as the mining boom dollars dry up. Meanwhile, housing supply is increasing in a lot of parts of Australia, especially Melbourne and Brisbane.
That really leaves Sydney as the odd one out. It is almost the only place where demand is high and supply is not surging, so rents continue to climb. (Source: news.com.au
How do Sydney rents compare to the Blue Mountains ?
1 Bed – $484/pw (Greater Sydney) – $260 (Blue Mountains LGA)
2 Bed – $530/pw (Greater Sydney) – $370 (Blue Mountains LGA)
3 Bed – $540/pw (Greater Sydney) – $450 (Blue Mountains LGA)
4 Bed – $640/pw (Greater Sydney) – $550 (Blue Mountains LGA)
(Source: Dept of Family & Community Services – March 2017)