Blocks breeze onto market
THERE has never been a better time to buy into the Tweed property market, with housing its most affordable in seven years, according to figures released by two peak housing industry groups.
With interest rates low, stable housing prices and a 14.6 per cent improvement in affordability for the March quarter, developer Metricon has released another 16 blocks at its Seabreeze Estate at Pottsville, with house-and-land packages priced from $420,000.
“In the current market it is best to buy homes that are below the median house prices as these offer the opportunities to make a future gains once the market begins to swing up again,” said Lance Cotterill, Seabreeze sales agent with Raine and Horne Tweed Heads/Coolangatta.
According to Mr Cotterill, the average house price on the Tweed is $470,000 and demand for homes under $500,000 is driving the local market.
With the Federal Government first-home buyer's boost of $14,000 extended until September 30 from June 30, on top of the $7000 State Government grant, Mr Cotterill said the rebates would effectively reduce the price of house-and-land packages at the estate to $391,000 for first-home owners who build their home.
“The dual demand is coming from both first-home buyers and investors, banking on solid returns once the market signals recovery over the next 18 months,” Mr Cotterill said.
“With low interest rates and solid yields, there are many opportunities in the market for investors to receive strong returns.”
Figures released by the Housing Industry of Australia and Certified Builders Australia reveal the average home loan repayment dropped to $1831 in the March quarter from $2056 in the December 2008 quarter.
The association also expects housing affordability to further improve once figures for the last three months are analysed.
Seabreeze project manager Dale Scotcher said the 16 blocks that were located in a central part of the $200 million development were released ahead of schedule due to increasing demand for affordable property on the Tweed.
The blocks range in size from 620 to 827 square metres and cost from $240,000.