Southern Highlands acreage estate pricing becomes volatile: HTW
Across the Southern Highlands the residential market for dwellings has experienced a recent hiatus.
The number of sales in the Southern Highlands has contracted from the highs of late 2017, according to the June report from valuation firm Herron Todd White (HTW).
The average price is tracking lower, between 4% to 8% across the region with the exception of Bowral, which has flattened from the highs of August 2017.
The most active price point continues to be in the $650,000 to $1 million band.
"As has been the case historically there is emerging market volatility in the rural lifestyle/acreage properties in the $2.5 million plus sector, where purchasers tend to be more discriminating in their purchasing decisions," the report suggests.
The valuers state that "when looking at some of the more recent land release areas across the Southern Highlands, they are noticing increasing stock levels as new blocks in the 450 square metres to 2000 square metres land size finally come to market".
"Because of this delay in registering titles, some speculative investors may find their dated lender approvals no longer current, which may prove challenging with tightening current credit criteria."
For the remainder of the calendar year, the valuers anticipate some further easing in the market as the increasing number of vendors particularly in the vacant residential land market compete with a limited pool of purchasers.
Whereas existing housing stock located close to the main townships of Moss Vale, Bowral and Mittagong, with the benefit of being located close to retail, medical, school and transport infrastructure are going to remain attractive to the Sydney buyer market.
Particularly families in the up to $1.5 million price point who continue to “discover” the Southern Highlands region as an affordable lifestyle alternative to an increasingly congested urban existence.
