Property market update: Melbourne, July 2022
Melbourne continued its downward spiral in July, as the property values in the city recorded deeper declines during the ...
Everyone wants a slice of a capital city, but some people just cannot afford it. Instead, people are moving to other affordable areas located in greater capital city areas. Here’s the latest data on interstate migration movements.
Analysed by Propertyology, the interstate migration figures indicate to head of research Simon Pressley that interstate migration is a trend that is likely to continue for years to come as people look for affordable property.
“The Great Australian Dream is alive and well and the latest data proves that people are prepared to uproot and move to make that dream a reality,” Mr Pressley said.
“The big winners are affordable locations within our capital cities with thousands moving either intra- or interstate to get a foot on the property ladder.
“Affordability will continue to be the deciding factor for buyers in the years ahead, which augurs well for many of these outer-ring locations.”
Here’s the movements in some of the biggest markets around the country:
The biggest movements for the greater Sydney area were Camden with 5,531 arrivals and a median house price of $745,000, The Hills Shire with 2,044 arrivals and a median house price of $1,375,000 and Liverpool with 1,068 arrivals and a median house price of $805,000, according to Propertyology data.
“There’s a pull towards Sydney’s more affordable areas like Camden and Liverpool, but on the other hand, there appears to be a push away from locations that are attracting the highest proportion of overseas migration,” Mr Pressley said.
“Sydney’s median house price will always be eye-wateringly high but it’s clear that more wannabe property owners are prepared to compromise proximity for affordability.
“They are choosing to move to more affordable locations where they actually have a chance of buying a property.”
The biggest movements for the greater Melbourne area were Casey with 6,051 arrivals and a median house price of $565,000, Melton with 3,844 arrivals and a median house price of $460,000, which Mr Pressley noted were all outer suburbs of Melbourne and are appealing for families.with 5,255 arrivals and a median house price of $520,000 and
“Melbourne is Australia’s second most expensive city, but its population is growing strongly and most of those people want to own a property as part of putting down roots in their new city,” he said.
“With Melbourne’s median house price sitting at $828,000, it’s understandable why some local migrants are opting for a location like Melton, which has a median house price of just $460,000 in comparison.”
The biggest movements for the greater Brisbane area were Moreton Bay with 5,110 arrivals and a median house price of $455,000, Ipswich with 2,332 arrivals and a median house price of $345,000 and Redlands with 1,237 arrivals and a median house price of $531,000.
Mr Pressley pointed out that the state of Queensland was currently undergoing an interstate migration boom, seeing over 17,000 residents in a single year.
“Greater Brisbane is made up of only five city councils, all of which were beneficiaries of positive internal migration last year,” he said.
“Once again it seems that affordability was a key driver with the more expensive metropolitan Brisbane attracting the smallest portion of interstate migration while Moreton Bay welcomed the lion’s share.
“In fact, its population of about 440,000 people is expected to grow by a staggering 200,000 in the next 20 years — and its affordability is a big part of the reason why.”
The biggest movements for the greater Perth area were Wanneroo at 1,402 arrivals and a median house price of $430,000, Serpentine-Jarrahdale with 1,311 arrivals and a median house price of $430,000 and with 1,227 arrivals and a median house price of $395,000.
“The West Australian capital is still attractive to interstate migrants, with some people still prepared to make the trek west in the year ending June,” Mr Pressley said.
“Several years ago, Perth used to be one of Australia’s most expensive cities, but the soft property market has improved housing affordability; this is a factor in the decision-making of many interstate migrants.”