- Darwin, ACT, Hobart offer affordable housing, despite rising prices
- The Northern Territory capital boasts strong rental returns and potential for investors
- Canberra's inner north offers budget-friendly units near city transport
Darwin, the ACT and Hobart all have relatively affordable options for homebuyers even after the sharp increase in prices over the past few years according to Herron Todd White (HTW).
In the latest, HTW Month in Review, all three cities were said to still have properties priced under $500,000 to $600,000 dollars that were well located and would suit a range of buyers.
Bang for buck Darwin
HTW Valuer, Will Johnson said Darwin might currently be offering the best value property prices in the country.
“With cost of living pressures so high across the country, Darwin is proving to be an excellent option for affordable housing and an opportunity for savvy investors seeking strong rental returns.”
Will Johnson, HTW Valuer
“Houses, units and townhouses all have options for good quality housing under $500,000 suitable for a family, empty nester or first homeowner.
“This coupled with so many long-term infrastructure and strategic works programs in the Northern Territory makes Darwin a very attractive option to live and prosper.”
Johnson said the satellite city of Palmerston is the place to go for a house and land package.
“Established housing under $500,000 is a very real option.”
“Suburbs such as Gunn, Durack and Rosebery are transacting with three- and four-bedroom homes.”
He said for units, the Darwin CBD remains the main location with excellent views, entertainment, amenity and common facilities in the complex.
“These units are attractive for those looking to downsize from the large family home, or for investors looking to unlock the excellent yield opportunity in Darwin.
“Away from the CBD, Nightcliff and Rapid Creek are very popular; the Casuarina Drive foreshore location offers ocean views and access to running tracks, cafes, pubs and local schools.”
Canberra’s affordable suburbs
HTW Assistant Valuer, Kush Sen said the best locations to buy in and around Canberra would be around the inner north and inner south areas due to their location and large blocks however they aren’t affordable.
He said that some affordable suburbs in Canberra would include Charnwood, Macgregor, Ngunnawal and Richardson but they weren’t necessarily the best suburbs in Canberra.
Whilst looking at properties under the $600,000 mark, units were the property type to go for as houses over the past few years have surpassed the $600,000 mark.
“When looking at champagne locations and beer budget properties, the inner north of Canberra offers one- and two-bedroom units for less than $400,000 up to $750,000,” said Sen.
“This location is close to the light rail for easy transport into the city and is ideal for tenants working in the city or who want to be within the hustle and bustle of Canberra.”
Hobart value areas
HTW Valuer Mark Davies said it can be tough to find affordable suburbs at times in Hobart because incomes are a lot lower than on the mainland.
“Prices skyrocketed during the pandemic and we are now in a state of relative normality with properties sitting on the market for a little longer and potential purchasers have been given some breathing space when it comes to making offers and adding conditions to sale contracts,” said Davies.
“Suburbs that fit the bill are Bellerive and Lindisfarne Village (on the eastern shore) and Kingston Beach on the southern side of the River Derwent.
“All of these suburbs are quite popular given the close proximity to restaurants and essential services or the beach.
“The problem is that entry level properties are transacting for circa mid $500,000 for a two-bedroom unit, with top end houses selling for well over the $1 million mark.”
