Northern Beaches market expected to stabilise in 2020: HTW residential
Sydney’s infrastructure boom is rolling on with the North Connex tunnel opening later this year, according to the latest Herron Todd White (HTW) residential report.
The valuation firm asked their valuers to give an educated outlook on the residential market in their service areas.
"This tunnel will take five thousand trucks per day off Pennant Hills Road and reduce travel times between the M1 and M2. We believe the big winners will be the more affordable suburbs in the upper North Shore of Mount Colah, Berowra and Mt Ku Ring Gai," the valuation firm stated.
These suburbs will have a greatly reduced travel time to the CBD and the M2 motorway.
"Keep an eye on the median house prices in these areas over the next few years," the valuation firm said.
The report suggests the Northern Beaches market as a whole is expected to stabilise, barring any significant political or financial legislative changes.
"If 2019 taught us anything, it was how these two factors heavily contribute to underlying market conditions and overall market sentiment, particularly in the entry and middle sectors," the valuation firm said.
How the Reserve Bank manages the Australian macro-economic issues will likely have the largest impact on the performance of the housing market, with housing stock levels anticipated to remain fairly low.
"We are anticipating blue-chip suburbs along the eastern side of Pittwater Road to outperform their western counterparts. Special areas of interest include Ingleside, Avalon, Warriewood Valley and Frenchs Forest," the valuation firm said.
The Ingleside Precinct Plan went back to the drawing board in 2019 and it will be interesting to see the revised plans that the council and New South Wales state government re-submit.
Still a medium to long term prospect, but the progression of this area is something to keep an eye on in 2020, especially with the Mona Vale Road upgrades currently underway.
A five bedroom house in Ingleside is currently on the market with a price guide of $2.35 million.
The two storey brick veneer house is located at 240 Powderworks Road (pictured below).
Nestled over 3,072sqm, the house comprises five bedrooms, three bathrooms, country style kitchen, and double lock up garage.
The report suggests there are many commonalities between Avalon and Byron Bay.
The suburb has a unique vibe and has become really popular for young families, particularly from the eastern suburbs and lower suburbs of the Northern Beaches.
Families are seeing value without compromising on lifestyle.
The suburb had one of the highest auction clearance rates and we anticipate the suburb to continue to perform in 2020.
An Avalon Beach beach house was sold for $1.8 million in December, 2019.
The four bedroom, two bathroom holiday house is located at 81 Riverview Road (pictured below).
The weatherboard cottage features open plan with polished timber floors, expansive balcony and open fireplace.
The final land releases in Warriewood Valley, located off Warriewood Road, are currently on the market.
The land sizes range mostly between 325 and 450 square metres and are around $3000 to $3500 per square metre.
2020 is likely to be the last year where a large scale land subdivision occurs for quite some time.
Lastly, a key infrastructure milestone was completed in December 2019 with the excavation of the 1.3 kilometre long Warringah Road underpass finished.
"The underpass will eventually provide more capacity for the thousands of daily motorists, ease current heavy traffic congestion and help reduce travel times.
"We also expect to see a continuation of investment at both a private and public level around the $1 billion Northern Beaches Hospital."
