- Herron Todd White has put together a report to find the unsung property hotspots
- In some States, it's harder than others to find these hidden gems
- The residential housing market is pretty much 'hot' all over
Ask someone from outside of NSW, to name a popular property area or suburb in the state and perhaps Bondi, Paddington or Balmain might warrant a mention.
When the property market is going up, no doubt the popular areas become even hotter. But what about the under-the-radar hotspot locations across the nation?
Australia’s largest independent property valuation and advisory company Herron Todd White tasked itself with discovering the hidden gems, and below are some of the results.
Offices emptied last year, but are making a comeback, albeit in a different format and with varying needs.
Rising Markets exist in: Ballarat, Ballina/Byron Bay and Lismore. Sunshine Coast is approaching the peak of the market.
The following are at the start of a recovery phase: Adelaide, Canberra, Central Coast, Emerald, Gladstone, Gold Coast, Illawarra, Mackay, Mildura, Rockhampton and Townsville.
Residential – Houses & Units
Rising Markets: Adelaide, Adelaide Hills, Albany, Ballina/Byron Bay, Barossa Valley, Brisbane, Broome, Cairns, Central Coast, Coffs Harbour, Emerald, Geraldton, Gladstone, Gold Coast, Hervey Bay, Hobart, Illawarra, Ipswich, Kalgoorlie, Karratha, Lismore, Mackay, Melbourne, Mildura, Mount Gambier, Newcastle, Perth, Port Hedland, Rockhampton, Shepparton, South West WA, Southern Highlands, Sunshine Coast, Sydney, Toowoomba, Townsville, Whitsunday.
Start of Recovery: Alice Springs, Bundaberg, Darwin.
When you have a property clock totally weighted towards ‘rising market’ with a few regions in ‘start of recovery’ or ‘peak of the market’, and nothing in ‘decline’ or ‘bottom’, then you know you are in a boom. (See main image above.)
The situation for residential units is similar – pretty much rising across the board.
It can be difficult when looking at Sydney’s Upper North Shore property market to find something that is flying under the radar when most suburbs command a median price well above $2 million, the report argues.
But there are pockets of the North Shore that do seem to offer comparatively good value and future potential.
The suburb of West Pymble has always seemed to lack the shine of some of the suburbs within close proximity such as Killara, Gordon and Pymble. The median house price in West Pymble as at 30 March was $1,882,750. Although this may not seem to indicate a suburb being under-valued, it must be considered relative to surrounding suburbs.
At the same date, Gordon had a median house price of $2.68 million, Pymble a median of $2.6 million and Killara a median of $3.3 million.
Tootgarook is one of the coastal suburbs in the Mornington Peninsula region between Rye and Cape Sound. Being adjacent to one of the best performing suburbs (Rye), Tootgarook is likely to benefit from the ripple effect.
The median house price in Rye is $854,000, up from $690,000 in 2019 reflecting a growth rate of approximately 24 per cent. In contrast, Tootgarook has a median value of $700,000, presenting plenty of scope for values to grow as buyers seek great value property in the coastal region.
Slacks Creek, Daisy Hill and Shailer Park will have opportunities for those seeking to buy but are tied to a modest budget.
The best option may be to consider attached housing as the unsung hero. It’s a way for you to enjoy all the facilities, services and accessibility of owning in our multi-million-dollar suburbs without the hefty price tag.
Older, three-story walk-up unit blocks from the 1970s, 80s and 90s are a great option – particularly if they include car accommodation. Often these units are of good size and can be easily and cheaply renovated to create very liveable space.
Evandale is located approximately five kilometres north-east of the Adelaide CBD and is characterised by turn of the century dwellings with small sections of more recent infill development, says the report.
Evandale is a small suburb of less than half a square kilometre and is surrounded by the well-known suburbs of Maylands, Stepney and St Peters. What Evandale lacks in size and notoriety it makes up for in charm and character, being one of the last heritage suburbs heading north-east of the city.
Evandale has a current median house price of $730,000 which provides a more affordable entry point to those aforementioned suburbs.
St James is located seven kilometres south-east of the Perth CBD, comprising predominantly older style brick residences interspersed with more recent single residential and low-density unit developments.
St James borders East Victoria Park, and while the latter has a current median price of $655,000, for St James it’s $530,000. The appeal of East Victoria Park is its proximity to the vibrant and cosmopolitan area of Victoria Park, known for its bars, cafes and restaurants along Albany Highway.
The lesser-known suburb of Ludmilla is usually associated with the adjacent, more recognised suburbs of Parap and Fannie Bay, says the report.
Although all three suburbs offer great access to the CBD and northern suburbs, it is Ludmilla that offers the most value for buyers and investors.
Fannie Bay, being not only a very scenic location but having amenities such as access to parks, shops, restaurants and cafes, is a superior location to Ludmilla. However, for a central location such as Ludmilla that is so well connected, it is only a matter of time before we see future infrastructure greatly enhance the suburb as well as general gentrification of the residential dwellings already there.
On the northside Cook, Macquarie and Hawker command good prices and are more expensive than Bruce, Page and Scullin, however Bruce and Page are extremely close to Belconnen with some large blocks for both owner-occupation and redevelopment. They’re within walking distance of the Westfield shops and town centre, commercial offices and Lake Ginninderra.
It’s all hot right now. Outlying suburbs for reasonable returns such as Midway Point, Sorrell and areas around Claremont may prove fruitful but always research the market prior to making an offer.
Report: Month in Review, May 2021, Herron Todd White.