What next for Ballarat property market?
Date: 30 Mar 19
The downturn in Melbourne's property market looks likely to settle in for a while - so is this good or bad for Ballarat?
On a positive note for homeowners, the slowdown shows no sign of spreading here. Prices are still increasing steadily in most areas of the city, with demand increasing in places - such as Sebastopol and Ballarat East - that had historically lagged behind.
All sectors of the market, from first-time buyer homes to high end properties, are "buoyant", according to three estate agents who spoke to The Courier.
There is also strong evidence of a shifting demographic in the city as more and more people from Melbourne either move to or invest in Ballarat homes. One suburb, Alfredton, has welcomed more than 700 new residents in the past year alone, new Australian Bureau of Statistics suggest.
According to the REIV, the slowdown in Victoria's biggest city is not likely to filter out to the regions for the moment.
The number of sales in Ballarat may have dipped in 2018 compared to a bumper 2017, but it was still up by around 11 per cent compared to 2016 (2,682 compared to 2,403). That reflected the trend in other comparable regional cities, and in fact showed a faster rate of growth than greater Geelong. In Melbourne sales were down by 23 per cent in the same period.
Prices in Ballarat too have performed very strongly during the same time, with the median selling price of a house in the city rising by 19 per from $325,000 in 2016 to $387,000 last year.
The CEO of REIV Gil King cited uncertainty and tighter lending standards having an effect in Melbourne, with owners more likely to hold off putting their homes on the market.
"On the flip side of that, the property market in regional Victoria is bucking that trend," he told The Courier.
"This could be due to a range of factors including affordability, flexible working arrangements, improved infrastructure and services and a more relaxed lifestyle."
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Click here to read the original article on The Courier.