Real es­tate boom

Val­ley prop­er­ties grow­ing in value

The Gazette (Derwent Valley) - - FRONT PAGE - PA­TRICK GEE

NEW fig­ures have re­vealed it’s time to buy in the Der­went Val­ley – and May­dena prop­er­ties are boom­ing.

The Real Es­tate Industry of Tas­ma­nia quar­terly re­port re­leased last week showed the me­dian house price in New Nor­folk had de­creased by 4.3 per cent in the last quar­ter but was grow­ing steadily in the long term.

PRD na­tion­wide New Nor- folk real es­tate agent An­drew Hills said Ho­bart ex­pe­ri­enced a pe­riod of strong growth from 2014 to 2016 and the Der­went Val­ley would fol­low suit.

“We’re a cou­ple of years be­hind so we’re start­ing to grow at the mo­ment,” he said. “The num­ber of sales is in­creas­ing and prices are slowly grow­ing.”

House prices in New Nor­folk in­creased by 4.7 per cent in the past year and 20.3 per cent in the past two years.

The me­dian sale price in the Der­went Val­ley is $240,000 and $225,000 in New Nor­folk.

“It’s the right time to buy be­cause ev­ery­thing’s still good value here,” Mr Hills said.

Fig­ures for the Der­went Val­ley showed the me­dian price for homes had in­creased by 4.8 per cent over the quar­ter and 9.1 per cent in the last year.

A break­down of the fig­ures for May­dena shows the me­dian house price has spiked since 2016, with a me­dian sell price of $150,000 com­pared to $67,000 last year.

The num­ber of sales has in­creased from two last year to 11 so far this year — the high­est

amount of sales in the town in the past 20 years.

“As soon as the [May­dena] bike track was near rat­i­fied and even when it was just mooted, prices went up in some cases by about 50 per cent,” Mr Hills said.

The sec­ond most sales the town has ex­pe­ri­enced in a year is eight in 2015, the year the bike park’s devel­op­ment was green­lit.

“I’ve sold half a dozen prop­er­ties [in May­dena] and I’ve looked at two oth­ers in the last two weeks,” Mr Hills said.

He said most buy­ers in­tended to use the May­dena prop­er­ties as rentals and bed and break­fast busi­nesses.

“Not many are buy­ing to live in; most are tak­ing ad­van­tage of the bike park,” he said.

Mr Hills said town­ships close to May­dena and on the way to the new bike park would also feel the ef­fect of the prop­erty boom.

“It is a growth time, it’s a slow growth but in­quiries are strong from buy­ers and the ma­jor­ity of the sales are lo­cals buy­ing lo­cal,” he said.

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