Sydney's Cecil Hills and Casula top price growth in last six months: APM

The south-west Sydney suburbs of Cecil Hills and Casula were the two Sydney suburbs with the biggest median house price rises over the first half of 2012, according to Australian Property Monitors.

Median house prices in the south-west region of Sydney rose 4.5% over the first half of 2012.

It was the strongest-performing region in Sydney. All suburban Sydney regions recorded median house price growth, with the exception of the northern beaches, where prices fell 2.2%.

Sydney suburban areas were the strongest-performing areas in the country over the first six months of 2012, according to APM senior economist Dr Andrew Wilson.

Results for house listings in Cecil Hills are dominated by off-the-plan houses in Mirvac’s master-planned Elizabeth Hills development.

The 56-hectare development will eventually include 650 sites over the next two to three years.

The development consists of land from $315,000 to $430,000, and three- and four-bedroom homes from $460,000 to $590,000 respectively.

There have been 196 lots released since November 2011, of which 129 had sold by August 1.

The next stage of 10 detached homes was released on September 15.

Agent Mark Nejasmic from United Realty West Hoxton has worked in the area for the last 10 years and says inquiry levels have been very high over the past year.

“To say you live in that area is quite a good thing. It’s a lovely little pocket. And there’s a shortage of stock there. Anything that goes on the market gets good enquiry, and they get over market value.”

Nesjamic is selling 42 Athlone Street, a four-bedroom house on 519 square metres.

“The property is quite indicative of the area certainly.”

“That particular property we’ve just got a new buyer for. People doorknocked and offered more than the asking price.

“The property was valued at $550,00 to $580,000 and yet we’ve achieved more than $600,000, with  three or four buyers interested.”

He says the area is attracting a mix of younger families and older couples.

 


 

Raine & Horne Cabramatta agent Van Nguyen says prices have risen in the last three months.

“There was a six-month period where things were quiet and it really picked up in July, August and now September. I’d agree with rises of 4% to 5%."

Nguyen is selling a four-bedroom house for $569,000.

In Casula, LJ Hooker agent Alen Toma says prices haven’t actually changed much at all over the last 12 months.

“I’ve seen a bit of activity in Casula, with more buyers in the area not a shift in prices.”

“I feel prices have been steady for the last 12 months.”

There are a number of developments coming in around Casula, which Toma says hasn’t affected prices much at all.

Toma is selling 50 Roth Street at auction with an expected price of $450,000 to $480,000.

He says the property is a very typical house in the area.

Toma says most people buying in the area are young families and first-home buyers.

He predicts prices will stay steady in the next year, with a possible uptick in buyer inquiry in line with Spring.

Agent David Farrugia from Macquarie Real Estate Casula agrees that prices haven’t changed much.

“If anything they’ve come down. We haven’t really seen an increase in prices in the higher bracket at all.

“The increase is probably in the lower bracket of Casula. Anything under the $400,000 mark – townhouses or villas or older-style homes.”

“A lot of first time home buyers are getting into the market before the grant finishes. I think people might be paying more than market value just to get in before the grant ends.”

“But anything over $500,000 and you’re struggling.”

He says he’s surprised more investors aren’t buying in the area considering the high rents.

“The yields are quite high. Although a lot of people have quite high incomes, a lot of them can’t afford to get a deposit together.”

“There’s basically a vacancy rate of zero as banks are getting tighter with their lending.”

Farrugia is selling 16 Plum Close for $619,000. The price has been revised down from $639,950.

He says the home is one of the nicer ones in the area and is not necessarily indicative of the average property in Casula.

Alistair Walsh

Alistair Walsh

Deutsche Welle online reporter

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