Growth rates are still down in the Darwin market, but sales volumes are up
Darwin remains a difficult market in 2019, as real estate prices across the state maintain a negative trend.
CoreLogic data indicate that over a five-year period ending in January 2019, Darwin recorded the largest decline in growth rates of all capital cities, falling 24.4%. Over the past 20 years, Darwin has also been one of only two regions not to record double-digit growth.
Nevertheless, during the 12-month period ending in January 2019, Top End may have begun to reverse the situation, if only slightly. The annual growth rate of Darwin went from -9.7% to -3.5%, while the regional pockets recorded an increase in their annual growth rate from -1% to 1.1%. CoreLogic suggests that this is due to the fact that the regional markets are generally in better condition than the metropolitan markets. The increase in sales volumes in the Greater Darwin and Palmerston areas up to December 2018 was also indicative of increased demand.
"We had excellent numbers this quarter, with Palmerston sales up 37%, 111 homes sold in the quarter. Overall, sales volumes in the Darwin area have increased by 14% for the quarter, with a total of 226 home sales, "said Quentin Kilian, general manager of the Institute's Real estate of the NT.
"The good news regarding sales volumes has continued in the unit market, where for the first time in a long time we have seen a sea of ​​black ink."
Unit sales are good
In the metropolitan area of ​​Darwin, the apartments occupy a position of strength. Sales increased 37% in the December 2018 quarter. Darwin's interior and Darwin's north coast also recorded excellent results, with sales up 20% and 129%, respectively, to reach 84 sales. and 48 sales. Median prices are also rising in many regions, although others are still on a slippery slope. The median value in Greater Darwin fell 0.7% to $ 350,000, while in downtown Darwin it dropped 6.6%.
Alice Springs recorded an interesting result – while sales volumes were down 11.6%, the median price was up 2.3%.
More and more first-time buyers entered the market, the number of financial commitments in this segment having jumped 2.5% compared to November-December 2018. Darwin being an undersized market, this figure could still fluctuate
SUBURB TO MONITOR
RAPID CREEK: Prices go down but houses remain expensive
Darwin is perhaps the capital with the highest returns in the country, but this advantage is not shared by all its markets. Rapid Creek is located to the north of the capital and its prices have dropped abnormally since January 2014. From January to January 2019, house and unit values ​​fell by 2.5% and 3.8%, respectively. median $ 577,732 and $ 297,399.
With a median value of less than $ 300,000, the Rapid Creek apartments are relatively affordable. Homeowners should also reap good returns of 5.8%. However, the average return on the housing market is only 3.9%. This, added to the still high price, suggests that Rapid Creek homes should be avoided for the moment.
Location: Rapid Creek is just 11 km north of Darwin. The inhabitants are therefore close to the conveniences of the capital
Housing market: Houses and apartments continued to post a negative trend until January 2019
Interest rates are at their lowest for more than 50 years, so some interesting rates are available. The best thing to do is to compare the rates of all the lenders. Let us help you solve this problem – Compare home loans now
Top suburbs:
Thebarton
,
alexandra hills
,
Flemington
,
Chermside
,
pourquoialla
Get help for your real estate investment
Do you need help in finding the right loan for your investment?
When you invest in real estate, it is important to make sure that you do not only have the lowest available rate that you can get, but you also have the features of ready adapted to your needs.
Just fill in a few details below and then we will arrange for a local Australian mortgage broker to contact you and sort out the problem What features or what types of loans are suited to your needs? We will even help with the paperwork. In addition, an appointment is free.
We respect your privacy and treat all your information seriously – you can check
our privacy policy here
