Real estate boom
Valley properties growing in value
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.