2016 sees Illawarra market starting strongly: HTW
The January market has been strong in the Illawarra district despite some hesitation on the longevity by both agents and buyers, according to Herron Todd White.
Herron Todd White's Month in Review for February said local real estate agents are in general bullish that they can see the results in 2015 replicated in 2016. However while many 12 months ago said that the past two years was simply the catch up that was needed, it is plain that the meteoric rise in prices cannot continue.
"Some northern beaches agents in the Wollongong area are telling us that where they used to have several people vying for properties at auction, they are now struggling to get a pair," the report noted.
"We saw many auctions postponed or vendor bids come into play right at the end of 2015. In our view there will not be a major drop in prices as there will still be some strength in the local market due to one thing – a continued low interest rate environment.
"Inner northern suburbs up to Bulli offer the best value for money in our opinion and postcodes such as 2519, 2517 and 2518 rate highly. Look for flat blocks and beach and train proximity. Sea views are becoming less valued as closeness to shops, schools and transport take over.
In the southern areas, we look to Shellharbour and Kiama as our picks. Shellharbour’s Marina is well underway and will really boost this seaside village, particularly now that the new train station has opened at Shellharbour Junction. Kiama is a well preserved seaside location with relatively low rise development and that special village feel.
"An increased supply of new units in the CBD, North Wollongong and other inner north areas should be viewed with caution in regard to stability of price levels in this sector."
