‘Canberra’s playground for real estate’: How the capital's neighbouring coastal region grew

Canberra’s neighbouring coastal region of Eurobodalla has experienced significant housing and rental price growth over the past five years, particularly during the pandemic, according to new data.

When COVID-19 arrived in Australia, many people were faced with working from home for the first time and being stuck in their respective townships for months on end, prompting more interest in out-of-city areas such as Eurobodalla. 

In the December quarter of 2017, the region’s median house price was $460,000, according to the Domain House Price Report, but this jumped to $840,000 in the last quarter – an 82.6 per cent increase over the five years. 

Christine Ewin of My Agent Team said the increase in house prices over the pandemic, in particular, had a lot to do with Australian families reconsidering their priorities in lockdown. 

“Families seemed to be the number one motivator for change … the isolation meant people missed their children and their parents, and the knee-jerk reaction was to move closer to them,” she said. 

“The other realisations were that working from home was an option, and some people decided to fast-forward their retirement plans, so lots purchased a beach house to live in during COVID.

“I think the virus had all of Australia at a standstill, reflecting on what they wanted to do with themselves, their future plans and their families.” 

The pandemic meant more city and interstate buyers were looking to purchase in the area, and more local owners were considering selling their properties as prices climbed to record levels, Ewin added. 

“We are predominantly Canberra’s playground for real estate,” she said. “Sydney came at us hard, too, with a mass exodus from the city, and there were lots of Victorians coming as well. 

“With house price growth comes spectators, too, who are motivated by these growing figures.

“Of course, people will sell if you give them $1 million, and that figure definitely became a reality for lots of home owners at the coast.”

As house prices rose, so too did the region’s median weekly asking rent, which jumped from $385 in December 2017 to $560 in December 2022. This is a significant 45.5 per cent increase over the five years. 

Property manager Olivia Clarke, also of My Agent Team, said the lead-up to the pandemic and the rise that came with it created the perfect storm for tenants in the Eurobodalla region. 

“For a long time, vacancy rates were at 0 per cent, and there was a housing crisis in general due to the Black Summer fires that had locals needing rental options,” she said. 

“This, together with those working from home deciding to come out of their cities and move down to the coast on six- to 12-month leases, caused a spike in prices due to demand.

“Prices are still too high for the majority of local residents, with incomes remaining conservative and not following the jump.” 

As the world feels like it is returning to some level of normality, Clarke said she believed this year would present an opportunity for those in the market to find some level of normalcy.

“It will be a year of change,” she said. “After three years of challenging times, we predict 2023 will be a year where we can finally take a breath.”