A new report reveals smaller capital cities and regional centres are now the primary focus for property investors, as attention switches from Sydney and Melbourne.
Two Queensland regions have made the latest National Top Ten Best Buys list by hotspotting.com.au — Moreton Bay and Townsville.
Suburbs in the Moreton Bay region such as Banksia Beach, Bellmere, Deception Bay, Burpengary and Sandstone Point all saw a steady rise in sales in the first quarter of this year.
Hotspotting founder Terry Ryder said the fact there were so many markets moving in different directions and at various speeds was an advantage for investors.
“While many commentators tend to discuss Australian real estate as a single market, there are many different markets driven by events in their local economies,” he said.
“Sydney and Melbourne have been rising, while Perth and Darwin have been falling, and others cities like Brisbane and Adelaide have been marking time, with only very minor growth.”
Mr Ryder said that while only the outer ring areas of Sydney and Melbourne were still firing, Hobart was performing strongly, Canberra was rising steadily and Perth was recovering.
“We also expect better performance from Adelaide and Brisbane in the next 12 to 18 months,” he said.
The report identifies areas such as Newcastle, Geelong and the Sunshine Coast as having strong local markets, while other regional centres like Ballarat and Townsville are starting notable growth phases.
“National factors like access to finance and the level of interest rates are common across the country, but the core factors that differentiate one market from another are events in the local economy,” Mr Ryder said.
“These include population growth, business expansion and spending on infrastructure, which generate economic activity and jobs creation. Out of that comes local demand for real estate.”
THE TOP 10 BEST BUYS
1. City of Marion, SA
2. Joondalup Precinct, WA
3. Moreton Bay Region, QLD
4. Belconnen District, ACT
5. Hunter Valley, NSW
6. Townsville, QLD
7. City of Stirling, WA
8. Ballarat, VIC
9. Queanbeyan-Palerang Region, NSW
10. City of Onkaparinga, SA
(Source: Hotspotting)
Source: www.news.com.au