How are the regionals doing?

Many regional areas across the country are looked at here, not only Geelong.

No challengers to Geelong‘s status as the No.1 market in regional Victoria

 

Even more reasons for people to ditch Syd/Melb and head to the regions:

"AUSTRALIAN think tank, the Grattan Institute, has delivered good news to regions such as the Fraser Coast.

For years people have resisted heading to the regions because the common perception was that wages are better in the cities.

Well the Grattan Institute research shows that this is no longer the case and debunked the popular myth that the economic divide between Australia's cities and regions is getting bigger.

Their research shows that income growth and employment rates are not obviously worse in regional areas.

Both cities and regional areas have pockets of disadvantage, as well as areas with healthy incomes and low unemployment.

The best news is that while cities have higher average incomes, the income gap between cities and regional areas is not getting wider.

In fact in the past decade regional income growth has kept pace with income growth in the cities and the lowest income growth was typically in suburban areas of major cities.

And unemployment was not noticeably worse in the regions overall."​

MAYOR'S MESSAGE: Good news for the regions

 

Good news for some of the NSW regionals:

Raine & Horne predicts a strong spring for NSW regional markets

 

Electronic Valuation (CBA AVM) is up 15% in last 5months on my Mount Austin (Wagga) property $240>277k - haven't checked comp sales or anything else as not plans to sell or use equity at this stage.

 

Cant just rely on the AVM, better look at what has sold.... I know there was no movement there for years!

 

Haha yeah I wouldn't just rely on AVM - and wasn't planning on looking but now you have made me look

Similar property sold $260k

 

From my pov Wagga investors are better off holding for just a little longer. The ones I was looking at had already been snapped up be fhb's.

 

Just back from Bendigo.

Spent some time talking to my real estate friends and was told that stock available for sale has reduced recently. More enquiries from investors particularly from Melbourne and interstates too. No signs of great spike in prices yet but property selling time has been shortened.

All these seems to be signs of revival for the Bendigo market? Any experience from property buyers here which would affirm the above occurrence?

 

Smaller capital cities and larger regional centres rising

 

Has Gladstone hit the bottom?

 

I have a better chance of being miss universe than Terry Ryder's odds of getting a hotspot right

 

50/50?

 

If I had money. I would love to in invest in Karratha. 2% Vacancy rates and 8 % yields after a 60% price drop.

 

I have not had a formal val done of late, but looking at recent sales in Golden Square for renovated 4 bedders on large blocks (mines on 1020sqm), I am up about 25% on purchase price. Not gigantic wads of cash in the scheme of things, but market is better than it was a year ago

 

Hopefully this is still early days & the migration increases:

'Mr Fraser said Treasury had begun studying a migration of homebuyers out of east coast capitals to regional centres that could help to ease house prices.

He conceded the government had overlooked promoting smaller regional cities, as they do in Europe, for too long.

"I don't want to over-egg it, but there are people moving [to towns such as Orange in NSW and Ballarat in Victoria], and they call them 'easterners,' he said.

"My gut feeling is we are seeing non-trivial migration. It might be wishful thinking but I'm hoping it's a trend. I think it will help on a number of fronts, not least with housing affordability." '

'Don't be comfortable': Treasury secretary John Fraser warns banks and homeowners​

 

I like that: At some time in the nest hundred years, interest rates will go up.

 

just did a bit of a search on SQM for bendigo, and its showing house prices up, vacancy rates at 2% and falling and implied yields falling (as prices go up) theres some really nice heritage look homes for sale at really affordable prices really close to the CBD, just want to get some peoples thought on this, I've never been to bendigo and don't really know anything about the town, does it have a future? is the rail going in definitely? is it investment worthy in your opinion.

EDIT: actually asking rents are up 4.5% rolling qtr

 

Yes radson, I also couldn't help but notice the yields up that way (Karratha, Baynton etc) are quite eye-popping, dare I say almost cash-cowish, these days. Surprised there is not much talk about this area now or are people still licking their wounds / scar tissue?
Obviously the potential future capital gains are pegged entirely to the local resource industry where the boom factor has peeled back last few years.
I'd love to hear from any PC members with local knowledge able to offer general or specific feedback on projects in that area ? Cheers.

 

I've been up through that way a few times...(live in Perth) it's a hole. I wouldn't buy there until there is another mining boom imminent. Not much there. Except red dirt and mining equipment

I'd also be skeptical of the tenants there right now while mining is quiet

But just checked SQM and vacancies have dropped a lot and prices have jumped 100k......33% in 12 months maybe something happening up there...