The suburbs that are still growing despite interest rate rises
- Reports have banded multiple micro markets into one market to report heavy declines.
- Queensland’s Maryborough enjoyed 21.1% Growth in 2022, after 29.5% in 2021.
- Warrnambool, Victoria, experienced a rise of 13.7%, following 26.2% in 2021.
After nine consecutive interest rate rises between May 2022 and February 2023, there has been an impact on the Property Market. The impact however has not been the same in all areas, capital cities and states.
It has been quite different in all of the micro markets across the country. Capital cities received the most media attention, and multiple micro markets have been banded into one market to report heavy declines. Capital city or not, it’s not all doom and gloom for the Australian Property Markets in 2023.
Opportunity on the rise
There are still many suburbs experiencing growth, some more than others. Despite the interest rate rises, investors are still purchasing property, and perhaps buying in different areas to where they may have been prior to the interest rate rises. Plus some owner occupiers or investors alike have been more likely to sell properties, opening up more opportunity for first home buyers, families looking to upsize and downsizers in many markets.
New South Wales growth locations
In NSW – Gorokan on the Central Coast continued to enjoy growth in 2022, reporting 10.8 per cent on the median house price, after 27.5 per cent in 2021, The central coast falls north of Sydney and south of Newcastle, being a popular spot for Sydney siders to re-locate for a better lifestyle, cheaper house prices, all the while still being able to commute back to the city when required.
This of course has been assisted by the pandemic, as working from home has become widely more acceptable and very much the norm. Remote work allows people maintain their existing job, therefore not needing to worry about work in their chosen area of relocation.
In addition, Forster on the Mid-north Coast, approx. 300km north-north-east of Sydney, yet still within four hours drive to Sydney, continued to experience growth in 2022 as well, 18.8 per cent on the median house price, following 20.4 per cent in 2021. This is another popular coastal town with beautiful beaches and an affordable lifestyle, still attracting lots of buyer interest and positive market activity.
Queensland growth locations
In QLD – Maryborough on the Fraser Coast, or also known as one of the twin cities (Hervey Bay and Maryborough in the Fraser Coast Region), Maryborough is about four hours north of Brisbane and about 2.5 hours north of Noosa. An historic city on the Mary river, rich in beautiful and historic buildings, Maryborough enjoyed 21.1 per cent Growth in 2022, after 29.5 per cent in 2021.
Toowoomba in the Darling Downs region of southern Queensland, being the second-most-populous inland city in the country, after the national capital of Canberra, best known for its Cobb & Co Museum, with its horse drawn carriages, is another area which has continued to grow. Toowoomba City has reported a 6.9 per cent rise on the median house price, after 35.3 per cent in 2021.
Victoria growth locations
In VIC – the well known Victorian Suburb of Albury/Wodonga located on the NSW/VIC border saw growth. Wodonga is Victoria’s fastest growing regional city, situated about 300km north-east of Melbourne.
Wodonga is the site of an Australian Army logistics base and training centre for Amy technical apprentices, the Army logistic training centre. It is also home of La Trobe University and Wodonga Institute of Tafe. Wodonga continued to enjoy growth in 2022. 18.2 per cent reported on the median house price, following 26.3 per cent in 2021 and it’s no wonder why, if you haven’t visited the region, add it to your list!
Warrnambool along the Great Ocean Road, in Victoria, well known for its safe, sheltered beaches, moderate climate, parks, gardens and Logans Beach where southern right whales come to give birth each year between June and September, offering a mix of seaside locations, tourism and family appeal. The fresh sea air and relaxed attitude make for an enviable, healthy lifestyle, and with that Warrnambool too continued to grow in 2022, experiencing a rise of 13.7 per cent on the median house price, following 26.2 per cent in 2021.
Not all doom and gloom
So while the bulk of the media is reporting negative news, or blanketing heavy declines in the property markets, there are still many more suburbs and regions experiencing growth despite the current interest rate changes. Its not all a one-size-fits-all story with the Property markets, and each so unique, depending upon the growth drivers in the area, age of the population and housing demand in the area.