Home values surge 20 per cent in Geelong’s best performing suburbs

Home values have surged more than 20 per cent in Geelong’s best performing suburbs over the past 12 months, new data reveals. See what your house could now be worth here.

This mud brick sanctuary at 39 Ware Street, Bannockburn, was snapped up before auction for $1.21 million last month.

Home values have surged more than 20 per cent in Geelong’s best performing suburbs over the past 12 months, new data reveals.

Lifestyle locations led the region’s price boom, with Bannockburn recording the highest growth in median values.

House values in the township jumped 28.4 per cent to $707,120 over the financial year, according to CoreLogic’s June quarter home values index.

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The million-dollar coastal suburbs of Jan Juc, Ocean Grove, Torquay and Barwon Heads also surged, with values rising more than fifth.

East Geelong was the strongest urban performer, up 15.3 per cent to $810,632, closely followed by neighbouring Thomson and Newcomb.

CoreLogic’s head of Australian research Eliza Owen said affordable Geelong markets had recorded a strong lift amid increased demand for entry-level stock and units.

But she said the 16.1 per cent increase in dwelling values across Greater Geelong — up from 6.3 per cent the previous financial year — was unlikely to be repeated.

3 Breakwater Rd set a record price for Thomson when it recently sold for $881,000.

“In the year ahead conditions across Geelong are expected to remain steady, with prices rising at a slower pace than what was seen in the 2020-21 financial year,” Ms Owen said.

“Growth rates are already slowing on a quarterly basis and high rates of growth in this region may be unsustainable due to affordability constraints and the potential for more constraints on lending conditions.”

First National, Golden Plains agent Owen Sharkey said many properties in Bannockburn were selling within days of hitting market with strong demand from lifestyle buyers moving out from Geelong, Lara and Melbourne’s western suburbs.

Acreage properties like this one, which recently sold at 48 Stevenson Road, Bannockburn, are a magnet for buyers moving out from Geelong.

“It’s a very difficult time to be a buyer at the moment,” Mr Sharkey said.

“It’s just hard to know exactly what something is worth because prices are rising that quickly.

“I was selling blocks of land just before Christmas at $300,000 an acre in an estate, we have just opened up stage 2 and now they’re going for $420,000.”

He said Bannockburn was “playing catch up” on other more expensive areas but still offered a affordability and accessibility to both Geelong and Melbourne.

Daniel Willis and Hannah Hogarth scored this entry-level Newcomb property at auction.

Hayeswinckle, Newtown agent Tiffany Simpson said there was no sign of a market correction in Newcomb and Thomson where older homes on larger blocks continued to achieve strong results.

She said first-home buyers, investors and developers still saw value in the entry-level suburbs due to their proximity to East Geelong.

“Definitely in the $450,000 to $600,000 range it’s still an extremely affordable price and because it’s a fringe suburb to East Geelong, close to the CBD and the botanic gardens and even schools and shopping centres, it still has a really good demographic for people coming from out of town,” Ms Simpson said.