Better Business MidWest
Monday, March 9, 2008
In a difficult year for the economy, property values in the Geraldton/Greenough region held up well when compared to Perth.
The region saw a modest decline of -1.4 per cent during 2008, in contrast to Perth's 12 per cent fall.
There were 463 sales in Geraldton/Greenough for the year, including houses, units and land. The highest price paid was $1.25 million in Mount Tarcoola.
The overall median price for the region is now $350,000, while the region itself has experienced solid growth of 23 per cent each year, averages over five years.
There were 53 sales in the December quarter, which saw the median price for eh quarter dip a little to $345,000.
Mount Tarcoola grew by 6 per cent in 2008 to a median of $340,000.
Mount Tarcoola and Waggrakine saw the most sales in the December quarter, each with six sales. Waggrakine gre by 3 per cent in 2008 to a median price of $350,000.
The most popular suburbs for sales over the course of the year were Mount Tarcoola, with 53 sales, and Spalding with 43. The median price in Spalding is now around $260,000.
In the Geraldton rental market, median rents declined by 8 per cent in December, although this might be attributed to seasonal factors.
The Federal Government's First Home Owners Boost is having a strong flow-on affect at the lower end of the market. Statewide, the boost doubled the usual proportion of first home buyers to about 40 per cent of purchasers. However, consumer confidence is weak with upgrade buyers, making the middle and top end of the markets very sluggist.
Interst rate reductions are fantastic for first home buyers, but hesitant upgrade buyers and investors are much more concerned about employment security and worried that property prices might drop after they buy., This caution is stalling those markets.