Where is Australia's best performing property market? Outer Melbourne's Wyndham, says CoreLogic

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Nov 30, 2017

Where is Australia's best performing property market? Outer Melbourne's Wyndham, says CoreLogic

Property prices in Wyndham, in Melbourne's outer south west, have soared 130 per cent in the last decade, according to a new study by CoreLogic.

Image hockingstuart.

This three-bedroom house at 6 Juliana Ave, Wyndham Vale, sold for $525,000 this month.
Image: Professionals.

This 3-bedroom home at 10 Brighton, Wyndham Vale sold for $405,00 this month.
Image: hockingstuart.

This four-bedroom house at 57 Balcome Drive sold for $551,000 earlier this month.

Property prices in Wyndham, in the outer south-western suburbs of Melbourne, have soared 130 per cent in the last decade.

Sydney's Pennant Hills - Epping area recorded the second-strongest growth, with prices up 126 per cent in the 10 years to October 2017.

Wyndham's prices are rising from a much lower base, with the October 2017 median price at $540,644, compared with Pennant Hills - Epping's median price of $1.7 million.

Samantha McCarthy of hockingstuart Werribee told SCHWARTZWILLIAMS it was a "huge surprise" to see growth of 130 per cent, although she knew the market had been strong.

"Traditionally, the area has been known for family homes," said McCarty. But there are some medium density developments appearing in the area she said.

"As the inner-city packets become unaffordable, people have moved further out," she said, adding that she still considers the area to be very affordable.

McCarthy said there was a huge increase in infrastructure spending in the area, which was adding to its appeal for buyers.

Two new train stations have been built, and Wyndham Harbour and Pacific Werribee projects have improved the area. The Werribee East hub is also slated for development in the area, and is likely to attract new populations, she said.

"The Wyndham area was undervalued," Paul Nuske, agent with Professionals, told SCHWARTZWILLIAMS.

"People see it as very good value," he said, in explanation of the area's appeal.

In the past, residents of the area were the main buyers and sellers of property in Wyndham, either upsizing or downsizing. But recent development in the area has changed the demographic in the last five years, said Nuske.

Nuske said the area is likely to remain highly sought after, with the further infrastructure spending planned.

Regions in each state with the greatest increase in dwelling values in the decade to October 2017

Source: CoreLogic.

The study by CoreLogic lays bare the fact that the Sydney and Melbourne property markets have far outperformed other cities in the last decade.

Cameron Kusher head of research, CoreLogic, said, “Overall the data highlights the strength of value growth in Sydney and Melbourne over recent years and just how moderate growth has generally been outside of these two cities.”

The top 10 areas for growth were all in Sydney and Melbourne. Katherine, in the Northern Territory, was the only region outside NSW or Victoria to record growth higher than 50 per cent in the last decade.

The data shows that Perth property prices have remained virtually flat in the last decade. The Serpentine - Jarrahdale area in outer Perth recorded growth of only 17.5 per cent over the decade, but the next highest growth was in the Canning region, with only 4.3 per cent growth.