Newcastle Property Market Update September 2020
Our region is taking COVID-19 in its stride with CoreLogic reporting an increase in the median house price for a number of our areas for the three months to June 2020. Newcastle LGA (up 2.5 per cent), Lake Macquarie LGA (up 1.1 per cent), Singleton LGA (up 0.7 per cent) and Port Stephens LGA (up 0.9 per cent) are all trending in a positive direction. Maitland LGA remained stable with no increase reported and Cessnock LGA slightly decreased by 1.3 per cent over the same period.
Heading into spring normally means an increase in properties being listed for sale in the region with potential sellers hoping to have listed, sold and settled by Christmas.
Agents are reporting a slight increase in listings, but they are still below the stock levels of this time last year. As the year progresses, we are expecting to see an increase in listings with the warmer weather around October and November. Reasons behind the lower stock levels are a result of the uncertainty brought about by COVID-19 with some cautiousness being exhibited by vendors and agents reporting that many people are holding off selling until next year. Buyer numbers are strong and the majority of well-presented and well-priced houses are selling, sometimes in a number of days to up to four weeks and townhouses and units within three months.
The rental market has tightened further in recent months with the REINSW most recent vacancy rate report (July 2020) showing only 1.3 per cent vacancy in Newcastle and the Hunter region as a whole. Agents in the area have commented that there is strong demand for rental properties with numerous applications per new rental listing and properties are generally leased within the week.
The First Home Buyers and Building Grants have generated more activity in the new land release areas and blocks of land are still selling as strongly as before the pandemic.
Yet again a record has been set in our region this month, with Lake Macquarie the backdrop of this prominent property. Located in Eraring, the sixbedroom, six-bathroom home on 2.73 hectares sold at auction for $6 million through McGrath Toukley. Reportedly, there were six registered bidders with a Sydneysider securing the property for use as a weekender.
Speak with a Newcastle Mortgage Broker today.