Top 10 Areas Set to Surge in 2015
Author: Eliza Owen Source: Onthehouse.com.au
New research from Onthehouse.com.au has revealed the top 10 investor suburbs set to deliver in 2015.
The data revealed that nine out of the 10 top investment areas, when considering projected growth and rental yield, are located along the regional coast of New South Wales and Queensland, while the remaining suburb is located in Western Australia.
The below table lists the top 10 suburbs, in ranking order.
Relative affordability of quiet coastal suburbs makes them ideal locations for retirees or young families.
A perfect example of this is Morisset, which is ideally located on the shore of Lake Macquarie as well as being a short drive from the beach - and during the last Census it was found that 39% of the suburb's population was aged 65 years or over. Many young health professionals have also found the area to be extremely affordable and a good place to rent and save while they attain work experience in the health sector.
With the majority of suburbs featuring on the list projecting growth in houses, Byron Bay stood out indicating strong growth in units.
Suburbs such as Byron Bay have become a popular and affordable seasonal destination for young people. It has a mild climate all year round and a trendy culture that attracts people to reside in the area, even outside of the holiday season.
Due to continued rising levels of unaffordability in major cities, regional areas have become more enticing for businesses, as well as home owners.
Businesses have found it cheaper to relocate their manufacturing and processing outside of metro city areas, creating jobs in regional areas.
This is again evidenced around Morisset, but is also a case for the outer Perth suburb of Stratton, which is located just 20 km from the Perth CBD. The median value in Stratton is more than $160,000 cheaper than the city area of Perth.
Queensland’s Allenstown was the most affordable on the list with a median home value of $267,500.
In Queensland, a prominent trend is the use of Government-led infrastructure programs to boost construction employment. In many areas, this will help to absorb unemployment in the mining industry as construction here reaches an end.
The trend with all of these areas is that they are either regional, or located outside their relevant capital city. This suggests that limited affordability in capital cities is crowding out investors and tenants. People are choosing to live in regional hot spots where employment is growing and the lifestyle is affordable, spacious and near the water.