Regional hot spots are providing affordable options for prospective owners to enter the market, according to an article published on realestate.com.au.
With property prices in Sydney remaining well out of reach for many buyers, large regional towns serve as alternatives. These areas are attractive to first-home buyers and investors, and feature many of the amenities that can be found in the capital.
Maitland, Dubbo, Port Macquarie and, Yass Valley are the top regional hot spots in New South Wales for 2019, according to PRDnationwide’s Ready, Set, Go report.
The report used five key criteria – affordability, property trends, investment, project development, and the unemployment rate – to come up with the best regional locations across the country.
Yass Valley has the highest median price, currently at $565,000 for a house, while the Dubbo region has the cheapest at $355,000, according to CoreLogic.
Prices have risen by 10.8 % in Yass Valley over the previous year, while Dubbo values jumped by 5.8%. All four regions posted positive growth.
The spots on the list offer plenty of ways to build one’s property portfolio. “You don’t have to look at the areas everyone else is looking at or the media is highlighting,” said Diaswati Mardiasmo, PRDnationwide national research manager.
A significant indicator for expected property growth is to make sure the region is in a position to grow economically in the future, because this leads to improvement in house prices.
“At the moment, we want to shine light on these areas as they have fundamentals for growth in the future. They might be closer to other growing areas, but have been quietly building up their infrastructure,” said Mardiasmo.
The regions on the list all have a higher rental yield and a lower vacancy rate than in the capital city.
Yass Valley remained steady, thanks to its links to Canberra and its relaxed lifestyle, according to Cazz Blyss of First National Real Estate.
Many Sydneysiders has also been attracted to the region, with around 10 to 15% of buyers coming from the capital.
The Maitland region, meanwhile, has taken advantage of major infrastructure projects like the redevelopment of Stockland Green Hills and the new Maitland Hospital, said Todd Fisher of LJ Hooker Maitland.
The area has become popular with first-home buyers, downsizers, and investors due to its affordability. Maitland has a median house price of just $470,000.
