Eyes on Geelong market

GEELONG’S sustained run of capital growth looks set to continue as new figures show demand for property in the region rising almost 60 per cent in a year.

The realestate.com.au figures show a 57 per cent increase in views per Geelong property listed on the website in the six months to April 30.

The report also shows Melbourne vendors are yet to adjust their expectations as the capital city’s demand rose just 3 per cent over the same time to 3114 views per property.

In raw numbers, each property listed on realestate.com.au in the Geelong region attracted on average 2994 views.

That’s an increase of more than 1000 views per property on the same period a year earlier, when homes attracted 1904 views.

That interest correlated with Geelong’s median house price rising from $500,000 in April 2017, to $560,000 this year, the report found.

Australian Bureau of Statistics data shows nearly 7000 Melbourne residents relocated to Geelong in the 2017 financial year.

Realestate.com.au chief economist Nerida Conisbee said the figures indicated more capital growth was to come in Geelong.

“When we see big jumps in demand, it does typically follow that there will be continued strong price growth,” Ms Conisbee said.

“So the fact that we’ve seen in the past 12 months the median price increase quite a bit shows that it will probably keep going.”

Increased interest from Melbourne residents in Geelong property was driving the demand, Ms Conisbee said.

“It’s very quick to get from Geelong into Melbourne’s CBD and there’s also been further investment if you look at the most recent Budget and the fact they’re investing more money in Avalon Airport, it all sort of points to further price increases to residential property.”

Buxton, Highton agent David Gray said the sub$600,000 price bracket was strongest, where first-home buyers paid no stamp duty and more people looking online transferred into groups at inspections and auction bidders.

More buyers were in the market for family and lifestyle than for investing, he said.

Maxwell Collins, Geelong director Nick Lord said Geelong was seen nationally as a great choice for investors and owner-occupiers, but a lack of available properties to meet that demand was leading to more auctions exceeding reserve prices, he said.

“The Geelong market continues to hold very well,” he said. 124 PAGES OF GEELONG PROPERTY, INSIDE TOMORROW