Geelong house prices ease – but Surf Coast up

Geelong house prices eased marginally over the September quarter with results similar those recorded over the previous June quarter.

Although Geelong house price growth moderated over the quarter, house prices on the Surf Coast continue to rise.

The Geelong median house price fell by 0.6 percent over the September quarter to $415,000 with the rate of decline the same as recorded over the June quarter. Geelong house prices however have increased by 2 percent over the past year and are up 16.9 percent over the past 5 years.

The median house price for the Surf Coast recorded over the September quarter increased by 1.2 percent to $675,000 and followed an increase of 1.4 percent over the previous June quarter. Despite these increases, Surf Coast house prices have risen by just 0.7 percent over the year ending this September but are up by 14 percent over the past 5 years.

Although Geelong house prices have eased over the past two quarters, unit prices increased by 0.9 percent over the September quarter to a median of $291,000. Despite the increase, Geelong unit prices have fallen by 5.8 percent over the past year.

House and unit prices in Geelong continue to offer significant affordability advantages over the broader adjacent Melbourne metro market which recorded a median house price of nearly $780,000 over the September quarter with a unit median of nearly $470,000.

A strengthening local economy, increased migration, low interest rates, solid investor opportunities and significant affordability and lifestyle advantages will act to bolster housing demand in Geelong with prices growth set to resume sooner rather than later

Dr Andrew Wilson is Domain Group Chief Economist Twitter@DocAndrewWilson join on LinkedIn