Melton and Wyndham dominate record Melbourne land sales for new housing: Red23
Metro Melbourne had over 21,000 land sales in 2021.
It was more than at the peak of the market in 2017, according to the latest report from Red23.
The Western corridor had the highest share of new land sales in Melbourne with 41% of the sales made in Wyndham and Melton areas, where stock availability is also at the highest.
"This was followed by the northern corridor comprising of Hume, Whittlesea and Pt. Mitchell with 25% of the market," Red23 managing director Terry Portelli noted.
The south east corridor sat at 22%.
But the fourth quarter of 2021 saw land sales fall 24% in comparison to the third quarter 2021 and 49% less in comparison to the first quarter of 2021 when sales were at its highest level.
The median land price in metropolitan Melbourne increased by 11% in the last 12 months, 9% in the last 6 months and 2.29% in the last month.
All municipalities increased in price over the last 30 days except for Whittlesea, falling back slightly.
Hume had the highest increase of 6.77% due to an increase in its median land size from 394sqm in November to 400sqm in December. Hume is a strong market where stock availability is at its lowest in more established areas around Mickleham and Greenvale and high demand for a variety of land sizes in Sunbury.
Greater Geelong had the highest year on year increase due to the pandemic. Prices increased 37% whilst the median land size remained unchanged. Approximately 5,500 sales were made in 2021 with the peak being in the second quarter 2021.
"Numbers dwindled towards the end of the year as stock availability fell," Portelli noted.
Early 2022 is expected to continue 2021’s success, he said, noting the economy remaining open, employment growth is at a healthy rate of 2.7% and the unemployment rate is below 5%.
He did note that consumer sentiment remains positive and has improved in January 2022 "however, it is still significantly lower than at its peak in November 2020."
Active house and land projects in the Melton municipality include Harmony Estate at Strathtulloh, a suburb in the outer west of Melbourne.
The suburb was gazetted in February 2017, following a proposal for eleven new suburbs by the City of Melton.
Late last year Harmony's stage 6 new land release was launched with the marketing advising the estate provided "easy access to the M8 Freeway, train stations and all the neighbouring amenities, without the premium price tag."
It came just after the titles for stages 1, 1A and 2 were settling mid-year. Stage 4 titling was scheduled for January 2022.
Recent sales include a 448sqm block at $310,000.
Burbank has been offering house and land packages around $670,000 in its Strathtulloh offerings.
Lendlease is undertaking Atherstone, a masterplanned community positioned 40kms west of Melbourne's CBD and home to the future Cobblebank CBD.
It offers buyers the flexibility to choose their own builder and home design after buying a block or alternatively choosing from one of the houses for sale in Atherstone.
Projects in the second busiest municpipality include Urban Square at Jubilee at 774 Ballan Road, Wyndham Vale by Jubilee.
Purchasers are encouraged to start building their homes within 12 months of settling on their block, with homes to be completed within 12 months of construction commencing.
For buyers seeking new builds, construction is underway at Onyx Estate, set for completion in late 2022, by the Heiyu Groups.
It is a series of two and three-bedroom townhomes in an established part of Tarneit, west of Melbourne.
Established in 2014, Heiyu Groups has undertaken 28 projects.
The Casey muncipality in the south east corridor has around 20 percent of sales, and the dearest median land price at $419,000. The nearby suburb of Berwick is seeing significant housing construction headlined by Alira, the nearby master-planned housing estate at 322-340 Centre Road, Berwick.
With pricing from $530,960, Alira is a collection of townhomes, and house and land, popular with first home buyers, growing families or downsizing families.
Whittlesea is the next busiest precinct with ASX-listed developer Cedar Woods having recently opened a new sales office for its 64-hectare Mason Quarter masterplanned community in Wollert following a surge in demand for property in Melbourne’s north.
Mason Quarter will accommodate over 800 dwellings and is located just 25 kilometres from the Melbourne CBD.
According to Cedar Woods’ Chief Operating Officer, Patrick Archer, land lots continue to sell out soon after each release.
Located on Craigieburn Road in Wollert, Mason Quarter is designed around new and existing amenity. The development includes plans for two schools, a community facility and is located within walking distance to the future Wollert town centre. The project is also in close proximity to the Hume Freeway, Metropolitan Ring Road, hospitals, shopping centres and public transport.
Mason Quarter will be delivered over the next eight years with large 368m2 land lots now selling from $397,500, subject to availability.