By Herron Todd White
Geelong Property Update
Once a destination for weekend getaways, the Geelong area has been reimaged as an ideal lifestyle for families. Immersed in nature, but remaining in close proximity to the bright lights of the city, Geelong provides the answer for those seeking a solid investment or a place to call home.
It’s well known by many that in Geelong you most certainly can get more bang for your buck when it comes to the property market. With Geelong also now being a well-established city in itself, hosting 250,000 plus residents, it’s turning into one of the most sought after locations.
$700,000 in Geelong can go a long way and can most definitely provide anyone looking within this range with a fantastic home for whatever they require. Whether it be a large double storey family home or a sleek and modern single storey home in a nice area, most would be able to find what they need within this price range.
An example of what is out there for around the $700,000 mark is below:
Speak with a Geelong Mortgage Broker today.
Mildura Property Update
The local market continues to show some uncertainty with many agents still reporting reluctance by many vendors to put their homes on the market. This is more evident in the higher value range due to concerns that buyers may not yet be willing to pay a substantial amount in this time of uncertainty. Sales that are occurring indicate that values have held up well so far.
Within the local market, $700,000 is still considered a higher value range property, however as the local market has increased steadily over recent times, this amount has started to become more common. $700,000 will purchase a large home located in an inner-city location in Mildura, or an above average standard dwelling in a modern subdivision on an allotment of up to 1,000 square metres. Within the inner city, it is possible at this price point to find an older, extensively renovated dwelling in a preferred location. A recent example is 26 Walnut Avenue, Mildura, which sold in January 2020 for $680,000. This property is in an inner-city location and includes an older home which has been recently renovated to a high standard and includes a pool.
Surrounding Mildura are a number of wellregarded smaller towns such as Gol Gol, Nichols Point and Irymple, which include good quality homes on larger allotments ranging from 2,000 to 6,000 square metres. For around $700,000 it is possible to find modern homes built within the last ten to 15 years which include good ancillary improvements such as sheds, pools and extensive landscaping. Buyers at this price point tend to prefer locations that are within a ten-minute drive of Mildura and which are connected to filtered town water.
A recent example is 297 Irymple Avenue, Nichols Point, which sold in December 2019 for $716,000.
This property comprises a 2,576 square metre allotment improved with a circa 2005 built brick home featuring a pool, large shed and significant landscaping.
These higher value homes are suited to owneroccupiers as investors chase higher rental returns at a lower price point. For investors, our advice would be to purchase two smaller, but still modern dwellings for $350,000 each, three older dwellings in secondary locations for $200,000 each or even a large block of flats (however there are few such blocks of flats at this price point). All of these would provide a more attractive return, of around five to seven per cent as opposed to a high-quality single dwelling. Mildura’s vacancy rates are still very low, meaning that finding tenants is generally straightforward.
Mount Gambier Property Update
The COVID update to start with.
To date there are still no clear indications of the impact of COVID–19 on property values in the Mount Gambier region. Whilst the market has softened as a direct result of government enforced restrictions and general economic uncertainty, we are yet to see this reflected in any value correction.
As restrictions begin to ease and some normality resumes, we remain positive that the impact will be limited, however are not naive to the fact that there will be ramifications within the property market.
Now, where to spend a lazy $700,000.
Within the Mount Gambier region, $700,000 will enable you to purchase practically anywhere. Few dwellings sell for more than $700,000 and demand for property tends to reduce significantly when the market value is greater than $700,000. Within the past 12 months there have been a limited number of houses sold for $600,000 to $700,000. Typically, up to $700,000 will allow you to purchase a character dwelling in a sought-after central location. The sale at 22 Lansell Street features a fully renovated character dwelling with high quality fit-out, three bedrooms, two bathrooms and a swimming pool.
On the outskirts of town, there have also been a few sales to come close to the $700,000 price range. These sales are generally on rural living style allotments and are good quality homes featuring one to three acres, four bedrooms, two bathrooms and good ancillary improvements.
While demand is limited for properties around the $700,000 range within Mount Gambier, there is greater demand for these properties in the popular coastal township of Robe. In Robe, $700,000 will allow you to purchase either a centrally located dwelling or a dwelling with ocean or lake views, such as the sales below.
Warrnambool (South West Vic) Property Update
COVID Monthly Update
Values within the Warrnambool market are yet to display any decline due to the impact of COVID-19. Confidence across the purchaser landscape remains solid; whether this remains the case in three months’ time is open for discussion.
A lazy $700,000 in 2020
Demand in this price sector was considered to be on a slight upward trend pre-COVID-19 and we predict that trend to continue moving forward should the COVID-19 recovery come quickly and completely.
Premier central Warrnambool properties, particularly those with heritage stylings and some level of updated interior, are very much excluded from the $700,000 price range. The buy-in for entry level property in this location starts at $750,000. A great example of what you get at the premier entry level is 9 Victoria Street, Warrnambool, VIC, 3280.
Three bedrooms, one bathroom, detached two-car garage on an 800 square metre allotment. Situated one block removed from city centre. Very basic level of fit-out with fantastic heritage features.
Moving ever so slightly away from the premier locations, potential buyers will start to see a number of options develop. It’s here, still centrally located (within one kilometre of the CBD and beach) that buyers will find high quality townhouses, renovated heritage dwellings and properties with further development or value adding potential start to become available in the $600,000 to $700,000 range.
For those with a vision and greasy elbows, look no further than 90 Skene Street, Warrnambool.
A circa 1880 weatherboard dwelling requiring a whole lot of work situated on a 2,100 square metre allotment. While the amount of renovation work required can’t be overstated, the dwelling does feature distant ocean glimpses through the Norfolk pines. There’s great potential for value adding with property such as this around Warrnambool.
Buyers interested in something with a little more room to move can find larger sized property (4,000 plus square metres) in Warrnambool’s surrounding lifstyle areas. 5 Elizabeth Street, Allansford, VIC, 3277
Set on one acre, ten minutes from Warrnambool in the smaller satellite township of Allansford, this property features a standard quality, modern style brick dwelling of approximately 240 square metres. Beyond the dwelling, the property is improved with a six bay workshop and large store shed.
As mentioned above, if you had this kind of money to invest within the region’s property market, then you have the opportunity to purchase within most market segments, from a large, centrally located character dwelling to a rural living style property on the outskirts of town.
Properties within this price range are generally owner-occupied and we don’t see many of them offered for rent.
Demand in this price sector has remained relatively steady over the past few years and we predict that it will continue to remain this way over the next 12 months. However, with the impact of COVID-19 on the property market still unclear, it is difficult to make any predictions with confidence.