The May federal election hurt the property market, with larger regions outside of the Australian capitals having sales volumes fall by nearly 20 per cent.
According to CoreLogic’s Quarterly Regional Market Report for June, sales activities fell across all 11 regions over the 12 months to May 2019.
CoreLogic research analyst Cameron Kusher said, “Discounting is becoming more common in some areas as properties remain on the market for longer periods. Many sellers are realising they need to be flexible in order to achieve their sale.”
Sales activities across the Newcastle and Lake Macquarie region fell by 15 per cent for houses and 32 per cent for units over the 12 months leading to May 2019.
According to CoreLogic, this is 18 per cent lower than the five-year average for the region. Housing values fell in the region to June 2019 by 8.8 per cent and unit values fell 9.5 per cent.
Rental yields remained strong with an increase of 3.9 per cent for the year to June 2019.
Illawarra / NSW
Illawarra sales volumes continue to fall with current sales activities being 24 per cent lower than the five-year average for the region. Similar to Newcastle, housing volumes fell by 19 per cent, while units sales were down 21 per cent.
Home values are down across the region, with house values recording an annual decline of 11.9 per cent, while unit values are down 6.2 per cent over the 12 months to June 2019.
The Illawarra rental market has seen no change in advertised rental rates over the year to June 2019.
- Tweed / NSW
Sales activity is down 16 per cent across the Richmond-Tweed region over the year to May 2019.
Housing value in the region fell by 2.8 per cent, while unit values are down 7.2 per cent over the year.
However, the area saw strong rental yields with an increase of $20 a week for houses and $10 a week for units.
Gold Coast / QLD
The Gold Coast has seen sales activity fall over the last few years, with dwelling sales down 18 per cent over the year to May 2019, 22 per cent below the five-year average for the region.
Home values are slightly lower year-on-year, with house values down 2.8 per cent for the year to June, while unit values are 2.2 per cent lower.
Rentals have increased in the Gold Coast up $10 and $5 a week, respectively.
Coast / QLD
Sales activity is down 17 per cent compared with this time last year.
Housing values also fell by 2.9 per cent over the year to June, with unit values increasing by 1 per cent over the same period.
Rental income was 4.5 per cent, with the average rental rate being $500 for a house and $400 for a unit.
Townsville / QLD
Up north, Townsville has seen sales volume fall by 7 per cent in the 12 months leading to May 2019.
Home values are down 0.3 per cent, while unit values have fallen by 5.5 per cent.
Twelve-month rental changes have increased by 4.8 per cent, with the average rental rate being $330.
Wide Bay / QLD
There were 5,692 homes sold across the Wide Bay over the year to May, down 9 per cent when compared to the previous 12-month period.
Dwelling values increased year-on-year, with house values up 2.0 per cent and unit values up 4.9 per cent.
Rentals have also increased across the bay with a $10 a week increase for houses and a reduction of $5 per week for units.
Cairns / QLD
Over the year to May 2019, dwelling sales were down 14 per cent across the Cairns region, with current sales activity 13 per cent below the five-year average for the region.
House values across the region increased by 1.7 per cent over the 12 months to June, while units fell by 4.4 per cent.
Renting is more expensive across the region, increasing by $15 a week for housing and $10 a week for apartments.
Geelong / VIC
Across the Geelong region, overall sales are 23 per cent lower year-on-year, with 1,564 fewer sales transacting when compared to May 2018, with current sales activity 18 per cent below the five-year average for the region.
House values fell by 4.7 per cent over the 12 months to June 2019, while units increased by 2.1 per cent over the same period.
Rental yield grew by around 5 per cent, with the average house returning $380 a week in rent, while units will provide investors $320 a week.
Latrobe-Gippsland / VIC
Home sales across both houses (20 per cent) and units (31 per cent) have fallen over the year, although units only accounted for 9 per cent of transactions over that period.
Latrobe-Gippsland house values fell slightly year-on-year, down 0.3 per cent over the year to June 2019, while unit values increased by 4.6 per cent over the same period.
Rental yields have increased by 5.3 per cent for house to an average rental rate of $300, while apartments have changed by 6.4 per cent to $250 a week in rent charged.
Bunbury / WA
Bunbury sales activity continues to fall, with 2,549 homes sold over the year to May 2019, down -7 per cent from one year ago.
Dwelling values have fallen across the Bunbury region by 3.6 per cent for a house and are down 16.5 per cent for units. Vendors are offering a slightly larger discount to secure a sale for both houses and units.
Rent has not changed in the 12 months. Rental rates for house remains at $340, while rental rates for units are $300.