Real estate booms

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Real estate booms

Action stations: Lewis Stone of Harcourts Inverloch at a complex of townhouses in Powlett Street. One has sold already.

By Brad Lester
REAL estate is selling at record rates across South Gippsland and agents are predicting even higher sales in the future.
Summer has returned the highest sales levels in many years, in coastal and inland residential properties as the region booms and cheaper properties draw Melbourne and interstate interest.
Affordable real estate remains the most active market. Only sales of farms have slowed, due to the downturn in the dairy industry.
Stockdale and Leggo’s offices at Inverloch, Wonthaggi, Cape Paterson and Grantville recorded the highest ever monthly sales since 1996 in November and sales in January were a close second.
Agency principal Patrick Barry is expecting the upwards trend to continue.
“While we are saying we are seeing record sales, this is the start of it. There is more coming,” he said.
Wonthaggi is leading the market, as the town transforms into a sub-regional centre on the back of a thriving building industry boosted by 1000 public service jobs across education, local government and policing sectors.
“Areas like Cape Paterson and Inverloch are very pleasant places to live and they are moving towards more permanent living rather than holiday accommodation,” Mr Barry said.
Young professionals and people in their forties and fifties are moving into Cape Paterson while Inverloch primarily attracts older residents. Some people are living between Inverloch and Melbourne.
Lewis Stone of Harcourts Inverloch reported record sales in recent months and the best of his two years in business. The agency sold three properties last week alone.
“We sold a lot of properties from October to December and January has been very strong,” he said.
Sales of properties in the lower end of the Inverloch market – properties below $450,000 – have been solid.
“We seem to have a third of buyers being locals and two-thirds from other areas. We have sold properties to people from around Gippsland: Lakes Entrance, Traralgon and Moe and also the Mornington Peninsula because those areas are changing,” Mr Stone said.
Inverloch’s combination of outdoor activities and diverse services are attracting many buyers.
“If you drive from here back to Melbourne, can you tell me of another town that has the same variety of seaside activities for a family?” Mr Stone said.
“Dad can go fishing, the son can go surfing and snorkelling and mum can look around town. There is not another town that has that and still has the country feel about it.
“Inverloch is also getting a new school, has the community hub, the doctors and the restaurants. The whole town is becoming a vibrant area. The tourism has created the influx of people and that makes the whole town a better service town.”
Additional buyers were lured to Inverloch when Harcourts auctioned the prestigious ocean-front property, The Cliffs, on the Cape Paterson Road late last year. That property later sold within the quoted price range of $2.5-$2.7 million.
“That got the town buzzing because it was a record price. That opened Inverloch up to another market, people who had not been here before. We had 130 enquiries on the property,” Mr Stone said.
More investors are looking for properties, hoping to benefit from the influx of tenants working on construction of the desalination plant at Wonthaggi.
The coastal destinations of Sandy Point and Waratah Bay have attracted interest from buyers from Sydney and Queensland, and Foster township is appealing too.
Interstate buyers are keen to escape the humidity and are lured by cheaper coastal homes in South Gippsland.
Russell Jones of SEJ Foster reported the best sales in many years, with properties up to $350,000 selling “extremely well”.
“There always seems to be a base of homes and properties that stay on the market but all in all, we are very pleased with the way it’s been going,” he said.
Alex Scott and Staff in Leongatha has had the best sales in seven years, said branch manager, Andrew Newton.
“The second half of January and the first half of February have been the best four weeks we’ve had for seven years,” he said.
“The market is moving in all facets except the bigger rural jobs because of dairy prices.”
First home buyers are less active after government grants were scaled down and properties in the key $200,000-$250,000 range becoming few.
Leongatha and Korumburra have received attention from Melbourne buyers, and sales should continue.
“It will be a good year across the board. The rural sector will struggle a bit but the residential market will go well as we get a lot of enquiry from Melbourne,” Mr Newton said.
“While we have the demand, we need the supply. Our Korumburra office has been just as strong as our Leongatha office.”
Grantville and Corinella are also rising in popularity as a dual lane highway puts the towns within commuting distance of suburban Melbourne.

Short URL: http://www.thestar.com.au/?p=311

Posted by SiteAdmin on Feb 16 2010. Filed under Uncategorized. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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