GEELONG’S BIGGEST BOOM BURBS REVEALED:

Manifold Heights one of seven suburbs to double in price in 10 years

THE value of homes in Manifold Heights increased more than $43,000 a year on average as house prices in the hot spot doubled in a decade.

The enclave is one of seven Geelong suburbs where house prices doubled since 2007, new CoreLogic data shows.

Geelong’s inner west has become a growing hot spot, with prices also doubling in Geelong West, Hamlyn Heights and Herne Hill.

Hodges, Geelong West agent Marcus Falconer said strong population growth was driving up house prices, while local homeowners were capitalising on their gains to trade up or down.

“You’ll find that a large pro- portion of those people will be coming from Melbourne,” he said.

But he said a home at 19 Strachan Ave was sold for $1.4 million — well above re- serve — to someone from Geelong West who wanted a bigger block of land.

“I guess, rather than trade up from 400sq m or 500sq m for possibly 650sq m (of land) in Geelong West — if they’re lucky — these people have gone up to Manifold Heights for above 1100sq m and they’ve locked in their lifestyle for the future because they’ve made such great gains in Geelong West,” he said.

“People are getting more money (for their properties) and the flow-on effect of West’s gain is people are going on to Newtown or Manifold Heights for the block size.”

Buxton, Newtown agent Scott Roncon said Herne Hill and Hamlyn Heights had been pockets of affordability for local buyers priced out of areas closer to Pakington St. But now Melbourne buyers were also looking outside Geelong West.

“It’s heavily driven by firsthome buyers who are buying as close as they can to the ring road,” Mr Roncon said.

“It’s still affordable, but $500,000 is entry level to get into those suburbs.”

Mr Roncon said Bell Park, Bell Post Hill and North Geelong were expected to benefit from the growth.

Realestate.com.au chief economist Nerida Conisbee said the quick commute to Melbourne made Geelong property more attractive.

“Initially it was first-home buyers, because it has attractive housing very much like the inner Melbourne period homes,” Ms Conisbee said.

“But they’re starting to attract a lot of upgraders as well, people living in apartments or smaller homes in Melbourne.”

Geelong was also a good fit for investors, who believed the capital growth would continue, Ms Conisbee said.

“On the other hand, you’ve got a lot of demand from younger buyers, so that means the rental market is quiet buoyant as well.”

Lifestyle is a big drawcard, McGrath, Geelong agent Will Ainsworth said.

“You’ve got some of the country’s best schools in such proximity to those suburbs and the shopping strips that so many people are attracted to,” Mr Ainsworth said.

“Twenty minutes down the highway and you’re on some of the best surf beaches.”