Isn’t this the weirdest trend? According to realestate.com.au data, the top 10 suburbs with the highest growth in the past 12 months just happen to be in regional centres, all close to mines. Can you believe that the suburb with the highest growth in the whole of Australia just happens to be Blackwater with 57% growth, followed closely by Dysart with 46% growth in the same period making it the second-highest growth suburb in Australia from May 2018 – May 2019.
So what does this mean for Rockhampton?
The flow-on effect is certainly being felt in the Rockhampton property market. Our local rental market has seen strong growth since late 2018 and doesn’t show any signs of slowing down. Vacancy rates at all-time lows, with less than 1% vacancy’s in rental properties in our Ray White Rockhampton office. This also comes with steady rent increases for our clients. Rockhampton local investors are taking advantage right now of current market conditions – while property prices are still low and rent yields are on the rise. Add to this the announcement that Adani has been given the green light for its Carmicheal Mine. The REIQ Regional Director, Damien Keyes has said that he is expecting property prices to increase with demand at the beginning of 2020 when the building of the Galilee Basin mine site ramps up. There are 6 other mines also planned for the region now that Adani has been given approval. These other projects (most have bigger proposed coal output than Adani) will have a much easier run, with the rail already approved and the environment approvals cleared with Adani.
Combine this, with the $788 million for infrastructure and road projects currently underway in the Rockhampton region, this includes the $202 million expansion of the Capricornia Correction Centre, the $178.4 million Rockhampton hospital upgrade and stage 1 of the Northern Corridor road expansion worth $121 million. Plus the Rockhampton Courthouse upgrade and various other projects being undertaken. Not to forget the proposed $65 million Rockhampton Ring Road project expected to be completed late 2020.
What does this mean for you?
Expected job growth with the increase in projects throughout the Rockhampton region increases confidence in the market, which in turn creates demand for housing in the region. With the Liberal-National Coalition government being reappointed at the federal election they quickly announced their First Home Loan Deposit Scheme which is set to commence in January. Whilst details of the scheme are not definite, it does entice first home buyers previously unable to obtain finance a greater chance of entering the property arena and strengthen demand for quality property in our local market.
Ray White Rockhampton Principal, David Bell says “The local economy is on the up, projects such as Adani offer job prospects and a huge confidence boost to our local market. Now the election is over we are certainly seeing evidence of that confidence returning to the local market with some properties receiving multiple offers and homes selling off-market, which vendors had previously withdrawn after being unable to achieve the desired sale.”
