Real Estate

Property experts reveal the Melbourne suburbs set to take off in 2019

Written by The ReReport
As seen in the Source link, written by on 2019-01-05 08:10:19

Suburbs clustered around Melbourne Airport and on the city’s fringe are among the housing markets tipped to take off this year.

While Melbourne is expected to remain a buyer’s market well into 2019, experts say sellers in areas where prices dipped last year could experience a second wind.

The Real Estate Institute of Victoria picked far outer suburbs Koo Wee Rup (63km southeast of the CBD), Whittlesea (40km northeast), Sunbury (42km northwest), Cranbourne North (39km southeast), Mickleham (32km north) and Wyndham Vale (31km southwest) among the markets to excel this year.

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REIV senior vice president Leah Calnan said their affordable median house prices — between $485,000 and $611,000 — ensured they had room to grow and made them targets for first-home buyers buoyed by stamp duty concessions for buys below $750,000.

The same could be said for Meadow Heights ($572,500 median), Laverton ($606,000) and Caroline Springs ($646,500).

She said several of these suburbs’ growth credentials had already been proven in 2018, with the REIV recording double-digit gains in Whittlesea, Meadow Heights, Koo Wee Rup, Wyndham Vale, Cranbourne North and Sunbury.

Greenvale ($760,000) rounded out the REIV’s 2019 suburbs to watch, with improving infrastructure and auction markets also taken into account. nominated nearby Airport West, Tullamarine, Keilor East and Pascoe Vale South off the back of boosts in buyer demand. chief economist Nerida Conisbee said these postcodes — along with Highett, Aberfeldie and Burnside Heights — had experienced large increases in views per listing on the site in the final quarter of 2018.

This indicated a “swell in activity” and had historically been a precursor to “far better price growth than the citywide average”, she said.

Barry Plant Group chief executive Mike McCarthy expected middle and outer suburbs that had experienced 10-15 per cent price drops last year to become more attractive to buyers.

“They’ll be thinking, ‘that represents $70,000-$100,000, that’s a nice discount’,” he said.

“You probably need that (larger deposit) with the lending restrictions in place at the moment.”

Prices cooling “to a more reasonable level” had been partly responsible for the rise in demand in Airport West and Keilor East, Nelson Alexander partner Mark Giardina said.

Accessibility — to public transport, freeways, the airport, and private schools including Penleigh and Essendon Grammar, St Bernard’s College and St Columba’s College — would also lift the markets in 2019.

Mr Giardina said homeowners considering listing in the area needed to be “competitive and realistic” with their pricing to make the most of the increased buyer interest.

Noel Ryan is hoping to kick off the new year by selling his Keilor East home of 15 years to make a sea-change.

He said the suburb’s amenities and affordability, compared to nearby Essendon, first lured him to the brick four-bedroom house at 46 Clarks Rd, which has a $920,000 asking price.


Real Estate Institute of Victoria picks:

Caroline Springs

Cranbourne North


Koo Wee Rup


Meadow Heights




Wyndham Vale picks (largest increase in demand*):

Airport West



Keilor East

Pascoe Vale South


Burnside Heights


Heidelberg West


*based on views per listing in last three months of 2018