Powered by momentummedia
nestegg logo
Powered by momentummedia
nestegg logo
nestegg logo

 

 

Invest

Bush v beach: which delivers better growth?

By Reporter
  • May 14 2018
  • Share

Invest

Bush v beach: which delivers better growth?

By Reporter
May 14 2018

Retiring with a cocktail in hand or a cup of tea by the fire are both nice ideas, but which destination property is better for long-term growth?

Retirement, property, beach area, rest house

Bush v beach: which delivers better growth?

author image
By Reporter
  • May 14 2018
  • Share

Retiring with a cocktail in hand or a cup of tea by the fire are both nice ideas, but which destination property is better for long-term growth?

Retirement, property, beach area, rest house

According to RiskWise Property Research, popular sea-change areas have delivered more than double the price growth of their tree-change counterparts in the last five years.

That’s 43 per cent and 18 per cent respectively, based on analysis of the top seven tree- and sea-change areas performed by real estate group, Homely.

RiskWise CEO Doron Peleg explained that these diverging returns are partly the result of the appeal of beachside living.

The significant increase in popularity has led to correspondingly higher prices, Mr Peleg added, noting that tree-change areas tend to be more affordable. The median price of the most popular tree-change areas is $378,000, compared with $686,000 for sea-change areas.

Advertisement
Advertisement

Byron Bay (102 per cent), Terrigal (68 per cent) and Kingscliff (62 per cent) delivered the strongest growth among sea-change areas.

However, RiskWise noted that Byron Bay’s relaxed lifestyle comes with a hefty price-tag; $1.37 million for the average house.

Noosa Heads, also in the top seven, has a median house price of about $1 million.

For those looking to go bush, Dayboro homes have experienced capital growth of 35.7 per cent over the last five years, followed by Birregurra with 33.7 per cent.

“It’s clear from these figures that sea-change beats tree-change hands down when it comes to solid capital growth,” Mr Peleg said.

“This is largely due to the amazing lifestyle options on offer along our coastlines.”

Top seven sea-change areas for houses

State Area Median price 12 month growth 3 year growth 5 year growth
VIC Warrnambool $352,744 7.3% 10.3% 18.7%
QLD Port Douglas $588,160 4.6% 15.2% 29.4%
NSW Lennox Head $852,184 4.8% 23.4% 39.7%
NSW Kingscliff $907,094 14.0% 44.1% 62.0%
NSW Terrigal $919,780 10.9% 40.6% 68.8%
QLD Noosa Heads $997,780 16.4% 36.8% 55.4%
NSW Byron Bay $1,415,941 19.6% 47.2% 102.0%
Weighted average: $686,707.84 9.9% 24.7% 43.0%

Top seven tree-change areas for houses

State Area Median price 12 month growth 3 year growth 5 year growth
VIC Chiltern $245,984 -0.9% 4.7% 25.9%
TAS Evandale $302,715 3.6% 8.0% 3.8%
WA Toodyay $325,387 -5.2% -2.8% 5.9%
SA Strathalbyn $366,052 1.8% 6.1% 15.5%
VIC Birregurra $390,205 5.6% 24.2% 33.7%
TAS Richmond $445,217 8.9% 8.7% 13.7%
QLD Dayboro $571,861 1.1% 17.4% 35.7%
Weighted average: $378,787.53 1.7% 8.0% 18.1%

 

Bush v beach: which delivers better growth?
Retirement, property, beach area, rest house
nestegg logo

Forward this article to a friend. Follow us on Linkedin. Join us on Facebook. Find us on Twitter for the latest updates
Rate the article

more on this topic

more on this topic

From the web

Recommended by Spike Native Network

More articles

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.