The Newcastle Real Estate Market
The Newcastle Real Estate Market can be quite volatile at times, although it is still typically seen as an ideal area for investment properties. Despite the market being heavily influenced by interest rate fluctuations, the affordability in some areas makes it ideal for first-time investors, especially due to the high rental rate. With some very affordable homes being located in waterfront areas, it is an ideal region for those looking for prestige at a reasonable cost.
Population-wise, Newcastle is the second most populated region in New South Wales, which is rapidly increasing. This has led to a higher demand in housing than ever before seen, and escalating housing prices. With a sharp increase in population density, with many re-developments of larger blocks taking place, the area is now being seen as an ideal area for developers to implement multiple-dwelling housing structures in some of the more affordable areas. With vacancy rates on rental properties being at an all-time low, you can be sure that your investment will be recouped. This makes it the ideal time for sellers to take advantage of this influx of outside investors, with above-market figures being hit every day throughout the area.
Due to high rental returns, we're seeing more and more investors who would have traditionally entered the Sydney market instead purchasing homes in the Newcastle and Lake Macquarie region, and this trend looks like it is here to stay. With Australia now becoming a heavy target for Chinese investors utilising the newly found capital from their booming economy, Newcastle is managing to seize a large portion of this cashflow, pushing property prices higher, and making Auctions a very viable means to attaining values well above what is considered market value.
If you're interested in buying or selling in the Newcastle region, regardless of the specific area or price-range, consider contacting Jared Codling on 0420 808 179.