The conditional sale of a Darwin home complete with a railway passenger carriage, is a strong sign the Northern Territory’s capital city market is set for a rebound in 2017, according to leading real estate group Raine & Horne.
The property, located at 133 Virginia Road, Virginia, includes a magnificent family home on 382 square metres on a 4.9-acre rural block.
“The carriage doubles as a granny flat and it is properties offering an interesting twist such as this, which are attracting buyers, and demonstrate the worm is turning for Darwin real estate,” said Glenn Grantham, General Manager, Raine & Horne.
“This property is perfect for owner-occupiers who want some extra room for interstate visitors, or for investors looking for some extra yield.”
Darwin’s property hotspots include the city’s northern suburbs and the satellite city of Palmerston, according to Mr Grantham.
“We have seen a three-fold increase in numbers at open homes and via our online enquiries over the last two weeks, which augers well for the remainder of 2016 and the start of next year,” said Mr Grantham.
“A property at Wagaman, for example, recently attracted 12 buyer groups, whereas six months ago one or two groups would have been the norm.
“This level of activity indicates Darwin’s real estate is in rebound mode and we’ve also seen an increase in offers. We’ll start to see more sales when the offers and vendor expectations start to align.
“These are coal-face observations from my team at Raine & Horne Darwin, which the statisticians won’t catch up with for another few months.”
The Darwin real estate market is rallying because buyers are recognising it represents excellent value, while more first home buyers are seeking to take advantage of attractive government incentives for established homes, according to Mr Grantham.
“First home buyers armed with their incentives for established homes are out in force looking to buy,” he said.
“Likewise, savvy buyers from the southern states have read the bad press about Darwin’s markets and are starting to return, especially as our yields are above 4% gross, which compares favourably against the likes of Sydney and Melbourne. Our vacancy rates of 3% are also very attractive.
“Another interest rate cut before Christmas wouldn’t hurt our market as we transition to 2017,” added Mr Grantham.
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