Property Values Report Spring Ballarat including suburbs and surrounding areas

Property Values Report Spring 2017 Ballarat including suburbs and surrounding areas

Welcome to the Spring edition of our Property Values Report, a summary of property sales and related information, delivered to you exclusively by Buxton. We are committed to providing our clients with accurate, credible, relevant market information and have worked in partnership with independent real estate data specialists Property Analytics* to develop this report. The statistics within are designed to give you a deeper understanding of how the residential real estate market is performing across Melbourne, in this region and within your specific neighbourhood. Prices up and still rising. Melbourne and Regional Victoria property prices have risen steadily since 2012 meaning the growth phase we re in has spanned nearly 5 years. During this time house values have risen by 14% across Ballarat (CoreLogic). The main and most obvious driver of price growth has been low interest rates. The RBA dropped the Target Cash Rate on 8 separate occasions since mid 2012 and have kept them at a record low 1.5% for the last year. Obviously cheap finance spurs investor demand and lifts buyer s budgets. But a second important price growth driver has emerged over the last couple years in Melbourne, and to a lesser extent, in Regional Victoria - low supply of established houses. The ABS has reported year-on-year decreases in Melbourne house transactions in each of the last 6 quarters (the yet to be released June quarter figures will likely make it 7 quarters). For nearly 2 years sales volumes have been decreasing while sales values have been increasing - this is a pretty unusual trend. What we see normally is sales volumes moving broadly in-line with sales values. Generally, more people are willing to list their property for sale when prices are on the rise as opposed to when prices are flat or decreasing. Look at the graph to the right of Houses Sold v Median House Prices in Regional Victoria see how volumes have broadly moved in line with prices over the last 10 years. In 2012 when the current growth phase began, sales volumes ticked up significantly (by as much as 10% in late 2012/early 2013). But look at the last 12 months volumes have remained flat while prices have continued to rise. What does this mean? At its most basic, real estate is about supply and demand. When supply of houses for sale is high but demand from purchasers is subdued, prices stagnate or decrease. When supply of houses for sale is low/flat but demand from purchasers is strong, prices increase sometimes dramatically. Let s assume that you re a young family looking to upsize into your 2nd house or maybe your kids have (finally!) moved out and you re looking to downsize into your final home. Are you comfortable with selling your existing home before finding your new one? Or purchasing your new house before selling your existing? Chances are you want to avoid the pressure of having to find a place within a few weeks and the idea of renting and moving twice doesn t appeal much. So you may be inclined to wait, and delay selling until you find something. That, in a nutshell, is the conundrum facing many people in today s market. It s a bit of a self fulfilling cycle fewer people are listing because fewer people are listing. It s also subtly changing the role of selling agents as we re increasingly being asked to help would be vendor clients find a place to purchase. Good agents recognise that their job is more than simply selling property and gaining commissions, it s about assisting clients throughout their real estate journey. At Buxton we re proud to share industry leading market information such as this report and having sold over 9,000 properties collectively over the last 3 years we re uniquely positioned to help clients find their future property. While interest rates remain at record lows we expect property prices to continue to rise, albeit, perhaps at a lower rate. Moving into Spring more properties will be offered to the market and we look forward to helping thousands of clients. Don t hesitate to contact your local office for more market information, an up to date market appraisal or to discuss your particular needs. Victorian Regional House Sales and Median Prices 35,000 30,000 25,000 20,000 15,000 10,000 7.0 6.50 6.00 5.50 5.00 2007 2012 2008 2009 2010 Number of Houses Sold 2013 2011 2014 2012 2013 2015 2014 2015 Median House Price Interest Rates and Victorian Regional House Prices Standard Variable Interest Rates 2017 MAY 2017 $300,000 $275,000 $250,000 $225,000 $200,000 $175,000 20 15 10 5 - (5) (10) % Vic Regional House Prices 77.6% is the Victoria wide Auction Clearance Rate over the last 12 months (Source: Source: REIV) 3.2% is how much median property prices have increased in Ballarat over the last 12 months (Source: Corelogic) 1.50% is the current RBA Target Cash Rate and November 2010 is the last time the RBA has increased the Target Cash Rate. (Source: Source: RBA) 135,296 residential property transactions have taken place Victoria wide over the last 12 months (Source: Source: REIV) * Property Analytics (www.propertyanalytics.com.au) provides independent statistical information to real estate professionals throughout Victoria and New South Wales.

Ballarat suburbs and surrounding areas property values Houses: 2017 Ring Road 1 1 - Wendouree / Miners Rest 1-3 Bed 4+ Bed All Houses Number Sold 250 66 316 Median $249,996 $355,000 $260,000 Highest $645,000 $780,000 $780,000 Median 3 year % change 2 6 3 2 - Ballarat North / Invermay Park / Black Hill 1-3 Bed 4+ Bed All Houses Number Sold 115 54 169 Median $320,000 $432,500 $344,750 Highest $880,000 $811,000 $880,000 Median 3 year % change 10 5 9 Buxton has divided the map on this page into 13 different property value areas. To find out the median house value in your neighbourhood, simply locate your street on this map to discover which area your property is in, then look up the relevant chart at left or on the following page. Data shown is for the financial year ending 30 June, 2017. Howitt Street 2 3 - Alfredton / Lucas 1-3 Bed 4+ Bed All Houses Number Sold 74 128 202 Median $349,000 $451,000 $410,000 Highest $650,000 $795,000 $795,000 Median 3 year % change 9 11 15 *Median Value 3 years % Change in figure is statistically unreliable due to insufficient sales volumes. 4 - Lake Gardens / Lake Wendouree 1-3 Bed 4+ Bed All Houses 4 5 Number Sold 56 45 101 Median $502,500 $845,000 $635,000 Highest $1,520,000 $3,000,000 $3,000,000 Dyson Drive 3 Sturt Street Median 3 year % change -1 28 15 5 - Soldiers Hill 1-3 Bed 4+ Bed All Houses Number Sold 66 22 88 7 Mair Street 8 Median $370,000 $507,500 $385,000 Highest $800,000 $870,000 $870,000 Median 3 year % change 24 21 24 Ballarat-Carngham Road Winter Street 6 6 - Newington / Redan 1-3 Bed 4+ Bed All Houses Number Sold 114 11 125 Sebastopol Street Median $290,975 $520,000 $297,000 Wilson Street Highest $710,000 $1,600,000 $1,600,000 Median 3 year % change 11 39* 8 Howitt Street 9 Sutton Street Rubicon Street 11 7 - Ballarat Central 1-3 Bed 4+ Bed All Houses Number Sold 136 56 192 Median $330,000 $560,000 $386,500 Highest $815,000 $1,280,000 $1,280,000 Median 3 year % change 6 21 14 1-3 Bed 4+ Bed All Houses Number Sold 225 41 266 Median $278,500 $371,500 $295,000 Bells Road 10 12 Highest $750,000 $760,000 $760,000 Median 3 year % change 9 14 9 9 - Delacombe 1-3 Bed 4+ Bed All Houses Number Sold 67 48 115 Median $300,000 $370,000 $345,000 Highest $447,000 $855,000 $855,000 Median 3 year % change 7% 3% 13% 10 - Sebastopol 1-3 Bed 4+ Bed All Houses Number Sold 166 25 191 Median $240,000 $292,500 $245,000 Highest $375,000 $435,000 $435,000 Median 3 year % change 2-1 2 About median values The median value is a more reliable figure than an average price. This is used as an indicator of price trends in a particular area. That s why median prices are used by Buxton, the Real Estate Institute of Victoria and the Valuer General. Simply, the average price is obtained by adding up the value of all sales and dividing that figure by the number of sales. The median average is the middle price when all sales are arranged in order from highest to lowest. Wirreanda Drive 13 Yankee Flat Road 11 - Canadian 1-3 Bed 4+ Bed All Houses Number Sold 56 33 89 Median $290,000 $377,500 $322,000 Highest $715,000 $617,000 $715,000 Median 3 year % change -2% -1% 4% 12 - Mount Clear / Mount Helen 1-3 Bed 4+ Bed All Houses Number Sold 65 62 127 Median $300,050 $391,250 $350,000 Highest $485,000 $635,000 $635,000 Median 3 year % change -2 0 9 13 - Buninyong 1-3 Bed 4+ Bed All Houses Number Sold 27 34 61 Median $354,500 $460,000 $429,000 Highest $780,000 $1,008,000 $1,008,000 Median 3 year % change -1% -6% 6% Please note that figures relate to sales of individual residential properties only, and exclude sales of multiple dwellings in single transactions (e.g. blocks of units), vacant land, and commercial real estate. The data on these pages also includes Valuer General data and because of the delay in receiving it, the 2017 data may be missing some sales taking place towards the end of the financial year. Also be aware that if any area has a particularly low number of sales during any period, this may unfairly influence the trend. Whilst every care has been taken to confirm the accuracy of the information presented, neither the authors, editors or publishers can be responsible for errors or omissions or for any consequences from application of the information given.

Units / Townhouses: 2017 1 - Wendouree / Miners Rest 1-2 Bed 3+ Bed All Units Number Sold 19 9 28 Median $207,500 $324,000 $251,225 Highest $425,000 $378,000 $425,000 Median 3 year % change 1 15* 5 2 - Ballarat North / Invermay Park / Black Hill 1-2 Bed 3+ Bed All Units Number Sold 13 14 27 Median $230,000 $292,500 $245,000 Highest $245,000 $350,000 $350,000 Median 3 year % change 3* 3* 7 3 - Alfredton / Lucas 1-2 Bed 3+ Bed All Units Number Sold 17 4 21 Median $180,000 $322,500 $225,000 Highest $570,000 $333,000 $570,000 Median 3 year % change -22* 4* -8 Land: 2017 1 - Wendouree / Miners Rest All Land Number Sold 51 Median $131,000 Highest $280,000 Median 3 year % change 7 2 - Ballarat North / Invermay Park / Black Hill All Land Number Sold 18 Median $156,500 Highest $232,500 Median 3 year % change -13* 3 - Alfredton / Lucas All Land Number Sold 101 Median $212,500 Highest $425,000 Median 3 year % change 41 Did you know... 55 days is the average for property on the market in the Regional Victoria area (June 2017. Source: REIV). June vacancy rates for Regional Victoria were 2.5% and Melbourne Metropolitan were 2.2% (Source: REIV) Average gross rental yield is 2.7% (Source: REIV) The number of properties listed for sale in July 2017: Regional Victoria - 21,372. Melbourne Metropolitan - 27,184. (Source: Corelogic) The Standard Variable lending rate for investors is 0.6% higher than the Standard variable owner/occupier rate. (Source: RBA) 4 - Lake Gardens / Lake Wendouree 1-2 Bed 3+ Bed All Units 4 - Lake Gardens / Lake Wendouree All Land Number Sold 8 5 13 Median $340,000 $416,750 $390,000 Highest $500,000 $495,000 $500,000 Median 3 year % change 37* 14* 27* 5 - Soldiers Hill 1-2 Bed 3+ Bed All Units Number Sold 4 5 9 Median $280,000 $323,500 $302,500 Highest $298,000 $663,000 $663,000 Median 3 year % change 18* -4* 8* 6 - Newington / Redan 1-2 Bed 3+ Bed All Units Number Sold 20 5 25 Median $192,000 $272,500 $205,000 Highest $270,000 $276,000 $276,000 Median 3 year % change 0-5* -8 Number Sold 34 Median $215,000 Highest $1,360,000 Median 3 year % change -4 5 - Soldiers Hill All Land Number Sold 2 Median $149,000 Highest $149,000 Median 3 year % change 6* 6 - Newington / Redan All Land Number Sold 6 Median $275,000 Highest $610,000 Median 3 year % change 62* $600k is the maximium price where first home buyers pay no stamp duty (Source: REIV) Property ownership in Victoria 29% 37% 33% Greater Melbourne 27% 34% 40% Regional Victoria Owned Outright Mortgaged Rented Property ownership data sourced from the Australian Bureau of Statistics (Census 2011) 7 - Ballarat Central 1-2 Bed 3+ Bed All Units Number Sold 23 4 27 Median $247,500 $435,000 $266,250 Highest $470,000 $435,000 $470,000 Median 3 year % change 10 76* 8 1-2 Bed 3+ Bed All Units Number Sold 23 18 41 Median $220,000 $306,000 $255,000 Highest $319,000 $345,000 $345,000 Median 3 year % change -12 15-2 7 - Ballarat Central All Land Number Sold 5 Median $172,000 Highest $500,000 Median 3 year % change -6* All Land Number Sold 18 Median $142,500 Highest $220,000 Median 3 year % change 30 $1,544 is the average weekly earnings (May 2017. Source: ABS) $310 is the median weekly rent for houses in Regional Victoria and $440 for Metropolitan Melbourne. (June 2017. Source: REIV) $248 is the median weekly rent for units or townhouses in Regional Victoria and $420 for Metropolitan Melbourne. (June 2017. Source: REIV) 9 - Delacombe 1-2 Bed 3+ Bed All Units 9 - Delacombe All Land Number Sold 3 8 11 Median $250,000 $297,500 $275,000 Highest $251,000 $410,000 $410,000 Median 3 year % change 108* 15* 7* 10 - Sebastopol 1-2 Bed 3+ Bed All Units Number Sold 49 11 60 Median $200,000 $256,500 $212,000 Highest $250,000 $265,000 $265,000 Median 3 year % change -2 9* -3 11 - Canadian 1-2 Bed 3+ Bed All Units Number Sold 18 13 31 Median $172,500 $235,000 $225,000 Highest $347,000 $347,000 $347,000 Median 3 year % change -33* -17* -13* Number Sold 69 Median $130,000 Highest $396,948 Median 3 year % change 4 10 - Sebastopol All Land Number Sold 27 Median $115,000 Highest $900,000 Median 3 year % change 19 11 - Canadian All Land Number Sold 13 Median $145,500 Highest $260,000 Median 3 year % change 2 Population predictions 9,936 2026 population predictions are properties have 5.586 million for Greater Melbourne 2026 been sold by the and 1.585 million for regional Victoria. Buxton Real Estate 2021 Group over the last 3 financial years Greater Melbourne Regional Victoria 0 2 Million 4 Million 6 Million 12 - Mount Clear / Mount Helen 1-2 Bed 3+ Bed All Units Number Sold 14 14 28 Median $209,975 $287,000 $245,000 Highest $245,000 $390,000 $390,000 Median 3 year % change -2* 8* -2 13 - Buninyong 1-2 Bed 3+ Bed All Units Number Sold 7 3 10 Median $243,000 $339,000 $260,000 Highest $299,000 $385,194 $385,194 Median 3 year % change -11* 5* -9* 12 - Mount Clear / Mount Helen All Land Number Sold 45 Median $99,000 Highest $325,000 Median 3 year % change -33* 13 - Buninyong All Land Number Sold 13 Median $180,500 Highest $440,000 Median 3 year % change -7* About median values The median value is a more reliable figure than an average price. This is used as an indicator of price trends in a particular area. That s why median prices are used by Buxton, the Real Estate Institute of Victoria and the Valuer General. Simply, the average price is obtained by adding up the value of all sales and dividing that figure by the number of sales. The median average is the middle price when all sales are arranged in order from highest to lowest. Data shown is for the financial year ending 30 June, 2017. Please note that figures relate to sales of individual residential properties only, and exclude sales of multiple dwellings in single transactions (e.g. blocks of units), vacant land, and commercial real estate. The data on these pages also includes Valuer General data and because of the delay in receiving it, the 2017 data may be missing some sales taking place towards the end of the financial year. Also be aware that if any area has aparticularly low number of sales during any period, this may unfairly influence the trend. Whilst every care has been taken to confirm the accuracy of the information presented, neither the authors, editors or publishers can be responsible for errors or omissions or for any consequences from application of the information given.

Property Values Report Spring 2017 If you are considering selling and would like to achieve the highest price possible, contact a Ballarat local area expert for an up to date market appraisal. Ben Halsall Director 0400 223 887 Mark Nunn Director 0409 412 518 Peter Burley Director 0402 220 356 Chris McAteer Sales Consultant 0419 509 194 Liam Crowley Sales Consultant 0418 378 177 Jarrod Cloke Sales Consultant 0407 550 103 James Montano Sales Consultant 0424 157 499 Bernie Massey Sales Consultant 0438 396 877 Matthew Stevens Sales Consultant 0418 501 323 Leearnee Jones Sales Consultant 0473 666 100 Jodie Burley Sales Administrator 0400 862 295 Renae Heath Property Management 0437 676 101 Julie Frans Property Management 0437 831 263 Heather Tweddle Property Manager 0447 217 026 Xavier Hamilton Property Management 0447 217 024 Jessica Bibby Property Management Amy Nunn Property Management Samantha Prince Administration Jo Halsall Office Manager Jess Benn Administration Bianca Stokell Marketing Co-Ordinator Amy McDonald Sales Administration Fhil Vella Reception/Sales Administration