NEWCASTLE real estate prices have been getting a lot of attention lately, and with good reason.
Data issued this week reveals that regional areas are the new lands of opportunity for buyers and the Hunter is booming.
It has been one of the best performing non-capital city areas in Australia for the year to May according to property information group CoreLogic, and predictions are for continued steady growth.
Price rises were recorded across the Lower Hunter, with the best performing local government area being the Great Lakes, which had a median house price jump of $55,296, or 13.1 per cent, to $477,404.
Great Lakes also recorded the largest percentage price gains in median unit prices, jumping 9.7 per cent to $365,172.
Lake Macquarie and Newcastle local government areas both had 10.1 per cent median house price increases.
Newcastle tops the price list with a jump of $52,577 to $573,146, followed by Lake Macquarie increasing $49,618 to $540,893.
CoreLogic senior research analyst Cameron Kusher said many Sydney residents were using equity in their homes to purchase investment properties in lifestyle markets.
He said the Lower Hunter was ideally placed to benefit due to its proximity to Sydney and the coast.
“The data indicates that after a long period of soft housing market conditions following the financial crisis, housing demand is starting to pick up across many of the larger regional areas,” he said.
“Those areas that are continuing to see values fall are in many instances linked to the mining and resources sector.”
In a report last week, BIS Oxford Economics predicted continued growth for the region, as capital city property markets weaken.
Prices are tipped to continue growing in the Lower Hunter, but experts warn the biggest price gains are behind us and the market is tipped to cool.
The Lower Hunter’s median house price was $560,000 at June 1, a jump of 36 per cent in the past four years.
Median house prices in the region were expected to increase about 11 per cent in the year to June.
Real Estate Institute Newcastle Hunter divisional chairman Wayne Stewart said the Lower Hunter could expect price gains of about 6 per cent this financial year.
SOURCE: Newcastle Herald
POSTED: June 30, 2017
AUTHOR: Donna Page
@Jurds Real Estate – Cessnock and Hunter Valley Wine Country Property Experts – the place to buy, sell and lease property in Cessnock and the Hunter Region.