Fringe suburbs Clyde and Wollert have joined trendy Prahran among Melbourne’s hottest markets for houses.
Buyer demand for houses has almost doubled in these pockets over the past year, according to realestate.com.au.
Also rising rapidly up the ranks of househunters’ wishlists were West Footscray, Brayside, Heatherton, Monbulk, Aberfeldie, Kingsville, and “diamond in the rough” Frankston North.
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62 Hartleigh Street, Clyde is for sale.
46 Pitt Street, West Footscray was snapped up quickly in August.
Realestate.com.au chief economist Nerida Conisbee said government housing grants were boosting demand for greater Melbourne’s affordable pockets.
“More broadly, we’re seeing very strong interest in house and land packages off the back of first-home buyer activity and HomeBuilder,” Ms Conisbee said.
She added “a lot of buyers” were also eyeing “relatively cheap” West Footscray closer to the city.
Realestate.com.au chief economist Nerida Conisbee.
Realestate.com.au calculates demand based on “serious buyer activity” on the site, including the number of visits to a listing, looking at photos on a listing multiple times, saving and sharing the property, and inquiring with the agent.
Lendlease head of development Tom Trevaskis said inquiry for Wollert’s Aurora development had increased 135 per cent in the past year, with a noticeable spike after the federal government announced the $25,000 HomeBuilder grant.
“People are looking for quality places with open space, community and education facilities, which have all been designed as part of a masterplan,” Mr Trevaskis said.
“That’s been the case through areas like Clyde, Wollert and established communities near Melton and Werribee.”
Treetops Park at Wollert’s Aurora development. Picture: Lendlease
A flurry of development has built up Wollert. Picture: Nearmap
Other suburbs were attracting attention by shaking off shady reputations from times gone by.
This was the case for Frankston North, which Ray White Frankston agent Trent Harrison called “substantially undervalued” compared to neighbouring areas.
“People have realised it’s a diamond in the rough, because everywhere else around it had a surge in value in 2017,” Mr Harrison said.
“First-home buyers are now buying properties and renovating them, which is really improving the perception of the area.”
3 Huon Court, Frankston North sold in August.
Frankston North has been called a “diamond in the rough”.
The agent said he had received “overwhelming” interest for Sarah Opie and Cassie Torcasio’s Frankston North family home, in the form of 59 inquiries and seven offers, before selling it in August for $490,000.
Ms Opie said she was impressed with the result for her renovated four-bedroom home, which she bought for an “extremely reasonable price” in 2013.
“The only issue with the suburb is a stigma still attached, but it’s not as warranted as it previously was,” Ms Opie said.
“It’s never going to be as popular as Frankston South or Seaford, but we still happily raised a family here and have seen massive changes over time.”
Sarah Opie and Cassie Torcasio and their son Archer outside their Frankston North house. Picture: Tony Gough
The family raised their son at the house.
There are big blocks available in the suburb.
Units in Caroline Spring, Deer Park and Lalor also experienced major upticks in demand.
Buyer’s advocate Cate Bakos said while first-home buyers were still desperate to break into on-trend suburbs like Brunswick, Northcote and Thornbury, many were noticing “lower-price-point areas”.
“First-home buyers love to buy with the stamp duty concession, and some have access to the deposit saver scheme too. But they are only fully active up to $600,000,” Ms Bakos said.
“When you look at value for money, you can buy a three-bedroom unit or townhouse in Caroline Springs or Lalor for about $550,000 to $600,000 and still be in an established area near transport and shops.”
Demand has spiked for units in Deer Park.
Blue-chip suburbs like South Yarra, Hawthorn, Northcote and St Kilda remained Melbourne’s most popular suburbs among buyers overall, but did not have the same annual surge.
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HOUSES
(Suburb, jump in year-on-year demand to August 2020)
1. Clyde 99.5%
2. Wollert 98.0%
3. Prahran 97.1%
4. West Footscray 69.5%
5. Braybrook 69.2%
6. Heatherton 68.8%
7. Monbulk 68.1%
8. Aberfeldie 67.8%
9. Kingsville 65.6%
10. Frankston North 65.3%
UNITS
(Suburb, jump in year-on-year demand to August 2020)
1. Caroline Springs 136.5%
2. Chadstone 95.0%
3. Deer Park 94.8%
4. Bulleen 94.4%
5. Lilydale 84.3%
6. Oakleigh 82.6%
7. Macleod 76.2%
8. Endeavour Hills 72.7%
9. Lalor 71.8%
10. Ormond 71.0%
Source: realestate.com.au
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