Geelong property market remains uncertain during COVID-19 pandemic: HTW residential

Geelong property market remains uncertain during COVID-19 pandemic: HTW residential
Staff reporterDecember 8, 2020

Geelong has entered 2020 with a solid foundation to make sustainable capital growth this year due to a number of market forces drawing people to the region, according a recent Herron Todd White (HTW) residential report. 

The current COVID-19 epidemic is going to have a negative impact on key drivers, so it will be interesting to see what impact this may have on the property market in the short to medium term, the valuation firm said.

The final CoreLogic Home Value Index for 2019 revealed a rising rate of growth over the past three months that had pushed the city’s median dwelling value to almost $560,000.

A waterfront penthouse apartment in Geelong is currently on the market with a price guide of $595,000 to $635,000.

The 9/50 Eastern Beach Road home (pictured below) comprises two bedrooms with ocean views, balcony, lounge room and light filled kitchen.

It also features updated bathroom and split system heating and cooling.

Geelong property market remains uncertain during COVID-19 pandemic: HTW residential

This rebound in Geelong's property market was brought on by reduced mortgage rates easing borrower serviceability assessments, improved housing affordability and certainty around property tax laws, the HTW report noted. 

"Obviously due to its smaller scale than Melbourne, Geelong doesn’t showcase the same kind of employment rates that Melbourne does, however the potential is there. With the region growing fast, employment opportunities will continue to grow in just about every aspect," the valuation firm said. 

With this, a number of new primary schools have been introduced to the ever developing surf coast regions such as Armstrong Creek and Warralily.

A four bedroom house in Armstrong Creek has recently been sold for $517,000.

Set on a 405sqm block, the 45 Mallaccota Crescent home (pictured below) comes with open plan living, Caeserstone kitchen, and double garage. 

It's located within proximity to the surf coast, train station and shopping centre. 

Geelong property market remains uncertain during COVID-19 pandemic: HTW residential

"Geelong boasts a number of the factors that make an area stick out as a place with high growth potential," the valuation firm said. 

Some of these factors include large infrastructure projects currently underway, vacancy rates and rental yields that continue to increase and a population that is growing.

"Like all of Australia, it is uncertain how the COVID-19 pandemic will actually affect the property market. A number of experts have put their views forward with some believing the market and its drivers will remain stable whilst others believe it will impact negatively," the valuation firm said. 

Notes on COVID-19
This edition of Month In Review had its topic defined in late February with submissions from our offices collated through to late March. During this period, shifts in the social and economic landscape due to COVID-19 became increasingly dramatic, as demonstrated by the varied information provided by offices over the course of three weeks.
This month’s residential theme on baseline property market drivers remains a common thread, and provides an indication of what influences to monitor as the property sector recovers post-crisis.

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