Geelong’s first-home buyer havens to get your foot in the door

After a correction in the market and a pause in interest rates, new figures reveal which Geelong suburbs are creating first-home buyer havens.

Newcomb: This three-bedroom house at 124 WIlsons Rd is listed with price hopes from $669,000 to $699,000.

A spread of suburbs across Geelong are once again offering first-time buyers the chance to break in to the property market.

New analysis of PropTrack home price data shows suburbs from close to the city centre to the region’s growth areas were offering an increasing choice in properties at affordable price brackets.

The analysis, which separates Geelong’s inner city, middle ring and outer suburbs showed there were spots in each area where the median house prices were within reach of buyers on a budget.

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The cooling property market has seen median house prices retracting in most suburbs, the latest PropTrack data reveals.

Suburbs such as Armstrong Creek, Bell Park, Belmont and Geelong West have seen median house prices falling by between $40,000 and more than $70,000 compared to the same time last year.

The three-bedroom house at 1/6 Glover St, Newcomb, is on the market for a price guide from $495,000 to $525,000.

Buxton, Highton director Tony Moorfoot said after the market peaked last year, there were middle ring suburbs that were providing more opportunities for price-sensitive buyers.

“Predominantly for first-home buyers it comes back to affordability, then where they can spend.

“The further away from the city prices generally tend to get a little bit lower, so there’s more affordability for them.

“Suburbs like Grovedale and Belmont have seen a lot of first-home buyers coming in and Hamlyn Heights and Herne Hill, Bell Park, Bell Post Hill, Leopold are the kind of areas they focus on because they’ll have a budget they want to spend.”

FIRST-HOME BUYER HAVENS - HOUSES

INNER RING: Thomson, (median price) $556,000; Newcomb, $575,000; North Geelong, $620,000; Belmont, $693,000; Hamlyn Heights, $710,000

MIDDLE RING: Norlane, $450,000; Corio, $500,000; Whittington, $517,500; Bell Park, $620,000; St Albans Park, $620,000

OUTER RING: Clarlemont, $622,000; Armstrong Creek, $680,000; Clifton Springs, $682,000; Curlewis, $690,000; Leopold, $700,000

Median prices for 12 months to August, 2023. PropTrack

Norlane: This two-bedroom house at 36 Peacock Ave is selling with $449,000 to $489,000 price hopes.

Belmont: The three-bedroom house at 16 Allitt Ave is on the market with $550,000 to $600,000 price hopes.

Mr Moorfoot said the three-month pause on interest rates had given a lot of potential buyers more confidence in their budget and were back in the market for a home.

Mr Moorfoot said, ring suburbs such as Grovedale and parts of Belmont which developed after the 1970s and 1980s offered comparatively cheaper homes with a bigger land component and were closer to city centre amenities.

Ms Winckle said vendors who were being realistic about their price hopes given the change in the market were being rewarded.

FIRST-HOME BUYER HAVENS - UNITS

INNER RING: Herne Hill, $360,000; East Geelong, $440,000; Geelong West, $441,000; Newcomb, $485,000; Hamlyn Heights, $485,000

MIDDLE RING: Corio, $400,000; Whittington, $406,000; Norlane, $411,000; Grovedale, $500,000; Bell Park, $510,000

OUTER RING: Lara, $477,500; Leopold, $512,500; Drysdale, $570,000

Median prices for 12 months to August, 2023. PropTrack

Norlane: This two-bedroom house at 36 Peacock Ave is selling with $449,000 to $489,000 price hopes.

Many first-time buyers shied away from bidding at auction due the unconditional nature of the sale method (you can’t buy subject to finance at an auction), Ms Winckle said, but some were prepared to have a go.

Ms Winckle said there were first-home buyers even scouring Belmont, Highton and Newtown for opportunities.

“First-home buyers are struggling to get finance to bid at auctions. But on really good properties, in really good locations with realistic vendors, the buyers will jump through whatever hoops they have to jump through to be able to get unconditional bidding on the day,” she said.

Bell Park: 36 Yaraan St is on the market for $609,000 to $659,000. It has three bedrooms.

GSC Finance Solutions mortgage broker Matt Turner said inquiry from first-home buyers was at the best level since HomeBuilder, but most were leaning on parents or government assistance to stretch their budgets.

“There’s not too many coming to us 20 per cent ready to put down and buy,” he said.

“The sub-$600,000 properties just aren’t around like they once were, so they’re having to use a lot of their deposit for stamp duty, for example.”

Established homes were the flavour of the month, with many choosing to buy in established areas, or something they could fix up.

22 Filipi Dr, St Albans Park is a three-bedroom house listed with $500,000 to $550,000 price hopes.

“Equally we do have people that are looking in the Armstrong Creek corridor for a home they can move straight in to.”

Mr Turner said couples planning to start a family were now seeking to hold their first property longer.

He advised buyers to get financial advice before starting to look for a home to lock in their budget along with any government and parental assistance available.

Originally published as Geelong’s first-home buyer havens to get your foot in the door