‘A little piece of paradise’: The most affordable sea-change towns
The most affordable sea-change towns have been revealed in new data that show where city dwellers could be better off by moving and taking up local jobs.
The Regional Australia Institute compared median home prices and median local incomes in each local government area of the regions and capital cities, as well as distance to the coast, distance to national parks and economic diversity of an area in its Good Life Guide, released on Tuesday.
On the coast of NSW, the most affordable region is the Richmond Valley, where the median home price of $530,000 is 10.3 times the median income of about $51,000, the research found.
It’s a contrast to Mosman, on Sydney’s north shore, which also comes with beaches but at a price tag 33.6 times that of its incomes – the highest ratio in Sydney.
On the Victorian coast, Glenelg Shire in the west of the state is the best value, with a median home price of $350,000, or 6.4 times the median income of about $55,000.
Melbourne’s most expensive area is Boroondara at 24.3 times incomes, or for water views Bayside at 22.6 times.
For home buyers willing to sacrifice access to the beach to get the cheapest property prices, the lowest price-to-income ratio in NSW was the Central Darling Shire in the state’s west at just 1.6 times, or in Victoria, in the Yarriambiack Shire in the state’s north-west, at four times.
Regional Australia Institute chief executive Liz Ritchie said the cost-of-living crisis was a driver for city dwellers to consider a move to regional Australia, along with a desire to have less debt, more space and more free time.
“If you can reduce your cost of living, you can reduce your debt burden, it stands to reason that your anxiety would also be reduced and that would support higher levels of wellbeing,” she said.
The research comes after swathes of city dwellers moved to regional areas during pandemic lockdowns to get more space to work remotely – a trend that has eased somewhat since the reopening of city centres, but not back to pre-pandemic levels.
She acknowledged some regional areas which took in a spike of new arrivals at once were experiencing growing pains, but some neighbourhoods were managing better than others.
“We know we need people, but we know we also need more housing for the rental market,” she said. “But we can’t build those houses unless we get more builders and tradies.”
Rising prices in some regional areas have had a ripple effect. The Byron shire’s price-to-income ratio has hit 27.5 times, comparable with Sydney’s Northern Beaches (27.6 times), and well above the Richmond Valley, two LGAs south at 10.3 times.
“It used to be Byron Bay was the place to be, and that moved out to Lennox Head and maybe some of these other places will be the next big thing, so as it becomes unaffordable people will move,” Ritchie said.
“People say to me, ‘what happens to those people who’ve lived there that can no longer afford to live there?’ These are challenges that locals are facing.”
Elders Real Estate Evans Head licensee-in-charge Brody Aleckson cautioned that the Richmond Valley stretches from Evans Head on the coast to Casino, a 45-minute drive inland, and home buyers could find cheaper prices by looking to Casino or its surrounding towns.
He said family homes could fetch about $600,000 in Casino but about $1 million in Evans Head.
The laid-back lifestyle was appealing for city dwellers, he said, along with local schools and the beach at Evans Head.
“The pace is a big thing, you don’t feel like you have to move as fast,” he said.
“The beach is a huge drawcard … you can find a little secluded piece of paradise all to yourself.
“We’re just blessed to be in the Northern Rivers, it’s a really nice part of the world.”
In western Victoria’s Portland in the Glenelg shire, Portland Seaview Real Estate director Allan Barrett said the area was still quite affordable despite increasing in price since the pandemic.
He said local wages are relatively high because of workers at the Port of Portland and the Portland aluminium smelter, who are paid for shift work.
He said some locals and some Melburnian or out-of-area buyers are buying homes now, but the market has become a little quieter compared with the lockdown years.
He recently listed a four-bedroom, brick veneer house for $395,000, but said newer builds can cost about $600,000 and higher-level homes at least $700,000 to $800,000.
But entry-level homes can be bought for under $350,000, he said.
Attractions include fishing, water sports, mountain bike and walking tracks, and easy commutes.
“It’s just a good environment and a peaceful and quiet lifestyle,” he said.
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