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Report reveals where Geelong’s favourite housing estates are amid rise in sales and lot supply

A rise in sales and supply shows more homebuyers are turning to Geelong’s land estates to break into the property market.

Supply and sales in new land estates are rising in the Geelong region. Picture: Alan Barber
Supply and sales in new land estates are rising in the Geelong region. Picture: Alan Barber

More homebuyers are turning to new land estates to get into the property market in Geelong, research shows.

RPM Real Estate Group’s quarterly Residential Market Review showed rising land releases and sales in Geelong’s urban growth areas.

The news comes as annual sales in the existing property market has dropped about 10 per cent during the past 12 months.

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The report showed 389 lots sold in the three months to December.

Head of communities Luke Kelly said the $279,000 median lot price for the region was $4000 lower than the same time last year, with the average lot size steady at 448sq m.

Sentiment was slowly recovering in Armstrong Creek, where the release of land nearly doubled to 160 lots in three months to December, helping hold lot prices at $272,000.

New stages of the GenFyansford estate west of Geelong are about to be released. Picture: Alan Barber
New stages of the GenFyansford estate west of Geelong are about to be released. Picture: Alan Barber

There was a 13 per cent increase to 171 lot sales across Armstrong Creek, Charlemont and Mt Duneed.

Mr Kelly said the diversity in land offerings played a factor in the median lot falling to 400sq m at Armstrong Creek.

“Demand has been good. We have seen an increase in sales and an increase in buyer inquiry on the estates we manage in Geelong and without the drop in pricing that we’ve seen in Melbourne,” Mr Kelly said.

Stage one of the new $1 billion Armstrong Creek Town Centre is set to open in July, it has been announced.
Stage one of the new $1 billion Armstrong Creek Town Centre is set to open in July, it has been announced.

“I think the mixture of stock, in some townhouses, some smaller stock on the market — at Armstrong Creek — for instance at 400sq m for a block right now, is really good.

“And not to mention, the first-home buyer grant in Geelong is still $20,000.”

Mr Kelly said locals made up 80 per cent of customers, evenly split between first-home buyers and others, including investors and second and third-homebuyers.

“It’s been very good for second and third-homebuyers and it’s been pretty consistent as far as the established housing market is concerned,” Mr Kelly said.

New schools have opened in Geelong’s Armstrong Creek Growth Area. Picture: Alison Wynd
New schools have opened in Geelong’s Armstrong Creek Growth Area. Picture: Alison Wynd

“Down there you still get people wanting to upgrade into something they can afford. In Melbourne it’s different, because a second or third-home buyer has to pay a bit more.”

Coridale contributed to substantial growth in supply and sales at Lara, the region’s cheapest growth area.

The report showed 79 buyers paid deposits on blocks in the northern suburb, while 140 lots were released.

The median price slipped 4.4 per cent to $262,950.

The release of land has kept pace with sales in Geelong estates. Picture: Alan Barber
The release of land has kept pace with sales in Geelong estates. Picture: Alan Barber

New lot supply also rebounded in urban Geelong, where 51 lots sold, almost matching the increase in land released.

Urban Geelong counts estates at Fyansford, Herne Hill, Lovely Banks and Wandana Heights, where land is more expensive with a $327,000 median price.

The median lot size was 604sq m.

Originally published as Report reveals where Geelong’s favourite housing estates are amid rise in sales and lot supply

Original URL: https://www.news.com.au/finance/real-estate/melbourne-vic/report-reveals-where-geelongs-favourite-housing-estates-are-amid-rise-in-sales-and-lot-supply/news-story/f544e6f33c291c652b174ec92bbdbdf1