Great Ocean Report – end of financial year roundup

The 2017/18 financial year saw a very active coastal market once again and it is interesting to see the contrast in price and volume of house sales in each town in our service area from the previous financial year.

So let’s look at the performance of each of the towns during this period. As a reference, these sales are house sales: that is, a free standing dwelling on its own title. We do not include land sales or units although freestanding dwellings with common driveways are included. The median house price is calculated as the “middle” price when all the sales are ranked from lowest to highest.

Torquay again continues to have significant turnover with 249 house sales for the year which was down from 330 the previous financial year. The median house price has been calculated at $818,750, up considerably from $720,000 in 2016/17. There were 47 sales above $1 million, two sales between $2 million and $3 million and just the one at $3,006,000, which was the top sale for the year. For context, there are 8,128 rateable properties in Torquay.

Jan Juc recorded 54 house sales, down from 65 in 2016/17, with the median house price coming in at $907,500, which was a substantial increase from $810,000 in the previous financial year. The top sale was $4,200,000, (sold by Great Ocean Properties) which to our knowledge was the top sale for the Surfcoast for the financial year. There were 12 sales between $1m-$2m, one sale between $2m-$3m and only one above $4m as mentioned. There are 1,990 rateable properties in Jan Juc.

Anglesea saw 92 house sales recorded for the financial year, down from the 98 recorded in 2016/17. The median house price was $810,000, significantly up from $753,000 the year before. The top sale for the year was $3,110,000 (sold by Great Ocean Properties). There were 23 sales between $1m-$2m (up from 15 the year before), four sales between $2m-$3m (up from 1 the year before) and two sales over $3m (for the first time). Again, for context, there are 3,272 rateable properties in Anglesea.

Aireys Inlet recorded 35 house sales for the 2017/18 financial year which was one fewer than in the 2016/17 financial year. This was a direct result of lack of available houses for sale rather than a lack of buyers. The median house price again saw a jump to $796,000 up from $782,500 the previous year. The top sale was $2,110,000 (sold by Great Ocean Properties). There were nine sales recorded between $1m-$2m and one sale above $2m. Aireys Inlet has 1,195 rateable properties.

Due to the low numbers of sales we have always grouped Fairhaven, Moggs Creek and Eastern View together. There are only 856 rateable properties in this area. There were 17 sales for the financial year, which was significantly down from 28 the year before. The median house price came in at $1,200,000, which was significantly up from $876,300 the year before. The median price figure in this area has historically moved around significantly due to the low sample numbers (it was $1m in 15/16). The top sale for the year was $2,100,000. There were 11 sales between $1m-$2m and 2 between $2m-$3m.

Lorne had another solid year. The total number of house sales was 49, which was slightly down from the previous year of 57. There is also a lot of unit activity in Lorne each year due to the prevalence of that type of property in the town. The median house price came in at $1,207,000, which was again an increase from $1,124,500 the year before. The top sale for the year was $2,675,000. There were 24 sales between $1m-$2m and five sales between $2m-$3m. There are 2,375 rateable properties in Lorne.

Apollo Bay recorded 157 sales for the year with the median house price coming in at $555,000. The top sale for the year was $2.5m. The affordable price point continues to be an attraction and the town attracts buyers from a wide variety of sources including regional areas.

The general number of properties for sale remain at historically low levels, which has facilitated many of the positive results we have reported. Baby boomers continue to make themselves present in the market place as they design their future lifestyle plans. This is particularly prevalent in Lorne, Aireys Inlet and Anglesea.

The excellent results in the Torquay and Jan Juc marketplaces can be, in some ways, attributed mainly to the owner/occupier demographic it attracts rather than the holiday house/lifestyle buyer. This owner/occupier demographic is broader than the holiday house/lifestyle buyer and competition for properties has resulted in the significant rise in the median house price for both towns. The access to Geelong and Melbourne for work purposes, plus the infrastructure of these towns for permanent living, continues to be a strong drawcard. Price differentiation between the Melbourne metropolitan market and the Surf Coast-Geelong markets continue to benefit the latter and it is difficult to see this changing.

We hope you found this Great Ocean Report informative and if we can ever be of any assistance in any real estate matter, please do not hesitate to call.