NSW Newcastle 2021

The market is shaping up to be another great year! From what I have seen on the ground prices would be up at least 10% across most suburbs from June 2020 - December 2020.

Newcastle's median property price hits $600,000 as agents compete for listings

The main driver of this surge has been historically low stock along with a large amount of Sydney buyer's wanting to relocate, the main feedback from these buyers has been that they no longer need to commute to work and can now work from home, the last 10 sales I have had, 7 have been to Sydney buyer's.

Anything Federation or in a heritage style is mainly what these buyers want and will look at most suburbs across Newcastle to secure these homes.

Recent notable sales;

41 High Street Waratah in 2018 for $950,000, the buyer pulled up the carpet and resold it 2 years later for $1,105,000. https://www.realestate.com.au/sold/property-house-nsw-waratah-129471986

41 High Street Waratah sold for $1,105,000 in November 2020.
https://www.realestate.com.au/sold/property-house-nsw-waratah-134765942

14 Stanley Street Merewether sold for $1,500,000 in June 2020.
https://www.realestate.com.au/sold/property-house-nsw-merewether-133657946

13 Stanley Street Merewether sold for $1,926,000 in December 2020.
https://www.realestate.com.au/sold/property-house-nsw-merewether-134860730

275 Parkway Avenue Hamilton East sold for $1,570,000 in October 2019.
https://www.realestate.com.au/sold/property-house-nsw-hamilton+east-132118094

2 Hebburn Street Hamilton East sold for $2,005,000 in December 2020.
https://www.realestate.com.au/sold/property-house-nsw-hamilton+east-135025174

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Great wrap up @tomlemke

Looks like Newcastle is really starting to shine post COVID.

Have had a number of friends looking to move here from Sydney with a view to purchase a home on a decent block in the $1.5-2.5m range close to town with a view to renovate later.

Work from home has been a massive game-changer for Sydney families looking for a better and less populated coastal lifestyle.

 

It's interesting to note that the growth occurred from June to December...which is similar to the rest of the NSW regional coast and QLD regional coast too.

And yes WFH will be a gamechanger over the coming years for Newcastle and other regional markets as well as more and more people are able to ditch the capital's and move to the regions.

 

Great update as always @tomlemke. Hope you are well mate. Let's catch up for a coffee sometime in 2021!

 

Im not sure we can really say "post-covid" with any certainty, we are still looking at Home-loan deferments out to March and Job-keeper payments propping up part of the economy, will see how things are in July or December this year.

 

Hey @tomlemke what's your personal opinion on the 3 Mayfield suburbs? Are we starting to see the major boom tailing off?

 

I really don’t think the stopping of job keeper payments will have any affect on prices in Newcastle. I’m yet to meet someone who has needed to sell because of a loss of job, the only people I know that have been affected have been the younger generation working in hospitality.

May & June the market definitely slowed right down but it has come back with a vengeance since.

The market has definitely not slowed down, I put a house up for sale in Mayfield today and have had over 20 enquires on it already.

Sales like the one below will continue to drive the prices north in the surrounding suburbs, this had no parking, an average block for the area and needed a complete renovation.

They had 47 groups through the open house on Saturday, 7 offers and sold for $801,000 yesterday.
29 Estell Street, Maryville, NSW 2293
https://www.realestate.com.au/sold/property-house-nsw-maryville-135150258

 

I was a disappointed party through that property at Estell Street who the price just got away from. In comparison, 26 Estell Street with parking at the end of October had 4 registered bidders, and the highest bid at auction was $600K. Ended up selling for $750K after the auction, but in a short amount of time, the level of interest in comparison was crazy.

The below sale in Maryville from August is looking like a steal. A property I didn't think was worth it at the time when it hit $700K at auction. 5 months time and a $100K difference for what was an identical property, the below was in better shape actually. Should of listened to Tom when he pointed out that property being a good option in my price range.

https://www.realestate.com.au/sold/property-house-nsw-maryville-134090610

 

A couple of nice ones that popped up today for anyone that’s actively looking.

8 Boreas Road, Hamilton North, NSW 2292
https://www.realestate.com.au/property-house-nsw-hamilton+north-135229350

95 Barton Street, Mayfield, NSW 2304
https://www.realestate.com.au/property-house-nsw-mayfield-135233450

 

Hi Tom @tomlemke, Hamilton block is only 12m frontage. Do you think it can be developed?

 

Saw this twice & honestly cannot believe it went for that. Feel like the Maryville FOMO has got out of hand now & I can't really understand why. Apart from it being a fairly close drive to the CBD/beaches it's not like it's a huge upgrade on its neighbouring suburbs - it has a nice park & a pub... This property had a small block, no car spot, all kinds of cosmetic issues and a kitchen/bathroom extension that really just needs ripping down & rebuilding - $200k minimum to get it liveable for me.

 

Possible Side by side duplex, I would be thinking more of a long term hold. It’s a decent block of land, close to the city & under $700k.
Hamilton North has been a sleeper suburb compared to Islington/ Tighes Hill & Maryville.

 

Very hard to get a 500m2+ block in the 5km inner city ring of Newcastle for under $800k now.

I think we'll see a bit of a pause as these ring suburbs all get close to a $1m entry price forcing people out further.

If I was in the market, I'd be looking for as much land as I could get for $800k and just hit the bid. You might overpay by a little in the short term, but there are a lot of buyers out there competing with you.

Besides, you can forget about overseas holidays/travel for the foreseeable future, people spending most disposable income on creating a beautiful lifestyle at home thanks to COVID... I guess that's why Bunnings sales are up 20% over the past year LOL.

Expensive purchase today... will be a cheap buy tomorrow. Trust me on that

 

Agreed with your thinking, which is why I gambled on Hamilton over Maryville a decade ago ... wrong horse. Although Maryville is on some pretty good bike trails and walking distance to the harbour, I still think Hamilton is a nicer spot to live.

I do feel for the locals trying to get into the market, on Newcastle incomes, in competition with those from Sydney

 

Nothing wrong with Hamilton at all Lizzie. Some pretty amazing properties being build and renovated if you’ve got a large block with good access to the rear. It’s fairly tightly held in the right pockets. Reminds me a lot of Glebe, Newtown and Surry Hills suburbs that are now super desirable.

Hamilton - Built by Eli

Here’s a unique Hamilton house with an internal courtyard I really love near the park. Would have been a $1m+ build which is on 1000sqm block. Would be worth close to $3m

 

Originally 2 properties. The garage is interesting. Due to flood risk, they weren't allowed to build a solid wall, hence the slots in the timber and the brickwork.

 

What do you think of this one @tomlemke
https://m.realestate.com.au/property-house-nsw-adamstown-135215026

 

Fairly low lying area with a mix of housing commission from memory, not my favourite spot but will certainly get better over time.

 

68 Lockyer Street Adamstown sold for a record @ $1.7m

68 Lockyer Street, Adamstown NSW 2289 - House For Sale - prdnewcastle.com.au

Amazing result, talk about 2021 Newcastle market starting with a bang.

Price growth is putting Sydney to shame

 

Words are out already! I am waiting for bank assessment. I want to pick up one more before I move to next phase but now almost late