NSW Why has the low end Broken Hill House market recently diminished so much?

I'm not referring to the derelict low end market where a house is close to unlivable and priced below $50,000.
I'm referring to Broken Hill houses priced between $50,000 and $70,000 that are in very ordinary, yet livable condition, and require mainly "cosmetic" renovations. I'm also referring to houses to live in, not to invest in for rent returns.
I've been looking closely at this 50k to 70K market in Broken Hill for the past 2 years or so. Usually on any given day there's at least 1 or 2 quite nice, very old, houses on the market for this price and 4 or 5 less nice houses.
This has changed over the past few months and passably livable houses in this price range have become very rare indeed.
Does anyone know why?
I've lived in Broken Hill for many years and wish to move back there into a little 1 or 2 bedroom cottage. Broken Hill has been a very quiet,safe, friendly town for me and it easily has all the services I need.

 

Which houses you looking at in Broken Hill for $50k - $70k that only require cosmetic reno?

You talking about these kind of houses? This is not a small reno and I could never live in that the way it is. This is also not just cosmetic reno.

https://www.realestate.com.au/property-house-nsw-broken+hill-136691738

 

To thunderstrike .... that house for $80,000 in your link is a wreck. I can get something better than that (based on past sales over the past 10 or so years). Over the years, usually at least several times a month, there has been a little 1 or 2 bedroom old fashioned house that is nice and passable and mainly needs basic things like painting, crack filling, new carpets etc etc and is for sale at aprox. $50,000 to $70,000 or so. Also, there are many houses in that range that are also wrecks and in need of structural change and major, expensive renovations.
Over the past few months the type of housing at these prices that I require has been diminishing in Broken Hill.
At the moment I'm not looking to buy, but I will be in about 8 or so months time.

 

Because the market has gone up over the last 10 years?

 

Wilko ..... at the low end of the market the house prices in Broken Hill have remained very constant over that time frame.

 

I would say it is because they havent gone up, and there is not many places where you can get houses in that price range or even any house to put a roof over your head.

 

You can thank covid, early super withdrawals and job keeper
and a commodities price uptick.....

When we were in Broken Hill a few months ago it was pumping, never seen it busy like that

Currently only 15 properties for rent , never seen that either

The prices seem to have stalled a little lately so still a good chance to get in before it becomes priced relative to everywhere else in Aus

So the questions are
Why are you only looking to spend 50-70k?
Are you a cash buyer or getting a loan?

 

BH market moved up a fair bit. Your 80k houses are easily worth 120-150k. People seemed to have bought for yield, and from what I gathered when I went there last time, a few covid refugees / work from home city people moved up (renting or buying).

I don't know what future there is for the town if the mine is closing in the future, but it was a lot better than I expected (and I even found good coffee).

I understand the surprise at BH prices going up - population is decreasing and prices have been stable for... very long.

 

I think the latest census will reveal a population increase

Historically over the last 5 -10 years there have been around 400 properties for sale in BH. Currently sitting low 100s and trending lower
Also no rentals available - down to 13
use to sit between 50 and 70

Of course some houses will become derelict over those years but i still feel the population has increased, particularly after seeing the amount of people around a few monghs back

As you eluded, there is actually nothing wrong with the town ogher than being extremely isolated

 

Wasn't there a period in the hill years back when FHBs could take the offered first home buyer grants and buy houses outright ?

 

Possibly around 2008 when the grants were big from memory
our house cost 44k in 2015 but it was a dump. We had to spend about 25k on it (new everything internally) . Currently rented to long term happy tenant for $220

 

Isn’t there some strange land titling in some places in BH - where you don’t actually own the land but lease it?

 

3yr growth 20.95%
5yr growth 15.45%

 

20.95% growth over the last three years, it's going to be harder to find a house for the same price as before.

The ones that used to be 70k are still there, they're just 100k now.

I've been watching BH on and off for about 7 years, back then there was plenty of choice for 50K not any more.

 

Yep! It's called a property boom. They even happen in Broken Hill from time to time.

You can't base prices on 10 year old figures. Prices might be higher again in eight months.

It's not rocket science, is it?

 

It's a scam!

 

Hi guys,

New here. I have no idea what led me here. I saw an ad for Realestate.com, remembered the 50k I've been saving for 6 years and ended up surprised to see houses still selling at BH for around 80k plus.

I was gobsmacked. Really? In Australia? Wow.

Question is guys, would you buy here?

I already have 2 properties and was hoping my next one would be in Leura or Bowral in NSW but I don't know if I'll every afford those. Some of the properties at BH looked ok and rental around $240. Paid off in years no?

I'm not really an expert. Just using basic math in my head. Maybe these forums would help.