Brisbane and Perth have been named as the big property hotspots for 2010 in a new report by economist Matthew Bell from Australian Property Monitors.
Bell says would-be buyers need to move as quickly as possible, as dwelling prices are tipped to continue their strong recovery of 2009.
Prices are now about 3% above pre-GFC levels and Bell expects the recovery to continue until well into 2010, despite rising interest rates and the phasing out of the first home buyers boost.
Despite the solid rise in house prices in 2009 – including a 12.5% jump in Melbourne house prices – there are still some affordable options for new buyers.
“If you are looking to enter the market, participate in the national recovery and get the best ‘bang for your buck’, Brisbane and Perth are the places to be looking,” Bell says.
“Queensland and Western Australia’s increased exposure to the downturns in both the resource and tourism sectors have meant that price recovery for both houses and units has trailed other states.
Bell also says there are parts of Sydney and Melbourne where prices still remain under late-2007 levels, even after the strong growth of the last six months.
His hotspots include:
NSW:
Mona Vale
Wolloomooloo
Victoria:
Mentone
Toorak
Queensland:
Hawthorne
Lota
Kangaroo Point
West Australia:
Halls Head
Nollamara
Mandurah
Bell’s biggest tips for finding a property bargain include research, deciding on your must-have features and understanding the demographics of an area.
“When looking for property bargains it pays to do your homework to make sure you are choosing an area and a property that is likely to see your investment grow.”
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
