Confidence returning to Rocky's property market
IT MAY not have been the dream auction Kas Woch was hoping for.
But with dozens turning out yesterday to inspect the Frenchville property, and eight registered bidders, the Rockhampton real estate agent believes it was a positive sign for the city's housing market.
The spacious four-bedroom low-set property at 1 Scully St went under the hammer yesterday morning, but was passed in at $475,000 after an opening bid of $450,000.
The principal of Kas Woch Real Estate said he was positive of selling the property once negotiations got underway between the seller and highest bidder on Monday.
He said the price bracket for the home was indicative of the higher market in Frenchville, which he said had always been a well-established and quality location to buy in North Rockhampton.
"The property market at Frenchville has always been good,” Mr Woch said.
"We went through a period where there was a very limited number of buyers out there, but the market is beginning to turn and that was evidenced at our auction today.
"We had roughly 28-30 people at the property, there were eight registered bidders and the bidding started at $450,000 which was a nice, high strong bid.”
Mr Woch said many families in particular were drawn to the suburb because of the nearby Frenchville State School.
He said things were also starting to look up for Rockhampton's housing market, despite figures released by the Opteon Property Group showing a drop of approximately 6% in the median house values between September and October 2016, compared to the same time period in 2015.
While the report indicates not all transactions have been recorded for 2016, it found a median house price of $267,500 in Rockhampton, with an average of $283,620.
There were a total of 98 sales across Rockhampton, Mount Morgan and Gracemere between September and October 2016, down from 176 during the same months in the previous year.
"We had a marvellous run between 2003, up to about December 2007 where our property prices increased by about 22% a year for about four years in a row, which meant that every house in Rockhampton doubled in value,” Mr Woch said.
"This was driven by investors in the south.
"Today, those investors aren't there because from December 2007 we haven't seen a lot of plus price growth.
"The prices in December 2007 aren't all that different to what we're seeing today.
"We're finding the investors have left our market, but I predict those investors will come back again.”
Mr Woch said Rockhampton's property market was seeing "green shoots”, with more confidence among buyers.
"We're seeing some of the employers putting on staff ... and that's a good indicator the mines are beginning to pick up and employ more people,” he said.
"Once we've got employment we've got a good strong property market.”