Greville Pabst predicts Geelong real estate to outperform Melbourne
A leading property valuer believes Geelong should outperform Melbourne’s property market for the next couple of years.
A LEADING property valuer believes Geelong should outperform Melbourne’s property market for the next couple of years.
WBP Group executive chairman Greville Pabst, who was also a buyers jury judge on The Block, was in Geelong watching auctions and inspecting properties for clients on Saturday, said the city provided good value for money for buyers.
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“I bought one here late last year, in Hamlyn Heights. I think it’s really good,” Mr Pabst said.
“I think Geelong is going to do really well over the next few years.
“It’s like Melbourne — you have to be selective where you buy,” he said.
“But if you are, I think it’s going to outperform Melbourne in the next couple of years.”
CoreLogic data released last week showed Melbourne house values had fallen 9 per cent in the past 12 months, while rising 3.9 per cent in Geelong.
Mr Pabst said Geelong offered buyers more affordable choices after watching a renovated three-bedroom house at 26 Heather St, Hamlyn Heights, be passed in on a $480,000 vendor bid. It sold after auction.
“Something like this under $500,000 you can’t buy in Melbourne,” he said.
“A one bedroom flat you can’t buy for under $500,000,” he said.
Mr Pabst said suburbs like Newtown and Belmont were really good for buyers.
Saturday’s 37-degree maximum demonstrated that keen buyers would always turn out for an auction, although crowds put a premium on the shade of trees while agents complained of the baking sun.
The Advertiser witnessed strong crowds and multiple bidders for properties that sold in Newtown, East Geelong and Hamlyn Heights, but agents still had a harder time to encourage bidding at other properties.
Preliminary auction results released on Saturday by CoreLogic show a 50 per cent clearance rate in Geelong from reported auctions, which is in line with recent weeks.
Hodges, Geelong West agent Marcus Falconer said population growth projections and plans for a fast train to Melbourne would ensure investors would achieve “amazing gains” in the next 10 years.
Buxton, Newtown agent Tom Butters said there was plenty happening in Geelong for buyers to be positive about local real estate.
“NDIS, TAC, WorkSafe, Cotton On, a cafe and restaurant culture like we’ve never seen before,” Mr Butters said.
“The health of Geelong as a town has never been stronger. That says to me that you can bid with confidence,” he said.
Geelong buyers advocate Tony Slack said a sense of urgency had gone out of the marketplace as buyers realised prices were no longer rising at a fast pace witnessed in mid-2018.
“There’s not that urgency. They knew if they miss one it’s okay. The realise the market is not going up like this (pointing to the sky), it’s like this (pointing almost horizontally) — it’s normal.”
Originally published as Greville Pabst predicts Geelong real estate to outperform Melbourne