House prices grow with demand

STRONG demand from buyers wanting a quieter lifestyle has seen median property prices lift in South Gippsland and Bass Coast significantly in the past 12 months.
People are flocking to rural towns like Korumburra, Kilcunda, Wonthaggi, Inverloch and Venus Bay, with demand often outweighing supply.
Adam Leys from Stockdale and Leggo Inverloch said since the start of 2017, median house prices in Inverloch had increased by over $100,000.
He said there were a number of factors driving the price increase.
“One significant factor is an influx of buyers coming from the Mornington Peninsula who are seeing great value in our market,” he said.
“They are tired of the traffic and general crowding on the peninsula and prefer the more relaxed vibe of Inverloch.”
Mr Leys said another factor was a shortage of vacant land, making homes in new estates hard to find.
“This drives people to buy in more established areas which come with higher price tags,” he said.
Mr Leys said a consistent decline in available properties had caused a degree of urgency among buyers.
“Buyers in our market are used to having plenty of time to consider purchases, but now they are seeing the places they like sold before they are in a position to make an offer themselves,” he said.
“This results in a shorter time on the market than we have seen in previous years. I don’t see this situation changing in the near future.
“Anything within two hours drive of Melbourne is highly sought after.”
Alex Scott and Staff Venus Bay director Daniel Lawrie said the median price for property in Venus Bay had increased by around $35,000 in a short period of time.
He said with a median price of around $310,000, Venus Bay was still very affordable compared to other coastal locations such as the Mornington Peninsula and Inverloch.
“It is good news for the area, our permanent population is building and that means more people to be active in the community and down the track, could mean more infrastructure,” he said.
“It is very positive news for us down here.”
PBE Wonthaggi director Adam Mabilia said the whole Bass Coast region was benefitting from real estate demand.
With an increase to the median property price of around $28,000 in Wonthaggi and $51,000 in Kilcunda, he said buyers from Melbourne’s south east still find properties in Bass Coast affordable.
“There is a big wave at the moment and there is no sign of it slowing down in the future,” he said.
“Stock levels are short through every town in Bass Coast at the moment and that is not likely to change. It is healthy for the region.”
Real estate manager at Elders Korumburra Don Olden said the median property price in Korumburra has lifted around 10 percent in the last 18 months.
He said strong demand means that properties are selling shortly after they come on to the market, causing a shortage.
“We are getting a lot of interest from the Mornington Peninsula and the south eastern suburbs,” he said.
“Housing is cheaper and we have a quieter, rural atmosphere while still being close to Melbourne.”
Mr Olden said he expected the demand to continue, which was great for the town.

Going up: Adam Leys from Stockdale and Leggo in Inverloch said house prices are steadily increasing in the seaside town, reflective of higher demand, mainly from metropolitan based buyers.

Short URL: /?p=25421

Posted by Tayla Kershaw on Jul 17 2018. Filed under Featured, News. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry