Aireys Inlet News

James Worssam

Extremely strong activity in recent weeks has agents talking about the ‘good old days’.

Just this week our agency has received offers from three parties on the one property which has only been on the market for around a week. The end result to the vendor being a sale well above the asking price. Clear evidence of the strength of the market.

In another case this week, we have sold a house in Aireys Inlet within 1% of the asking price after only a short time on the market. In yet another case this week, we have sold a 1.5 acre block within 1% of the asking price before the property reached the market, after being sold off our database to an interested party.

All this is more evidence of the bounce-back our market is experiencing. Limited stock will be our problem over the coming weeks as we try and keep up with almost frantic buyer demand.

Steve Ryan Photography

James Worssam

More evidence this week of the local market waking from its recent slumber.

Activity on vacant land has been very limited in recent times, however we have sold two blocks this week in the Aireys Inlet/Fairhaven area. One of these was sold within days of listing and was sold off our database to a buyer within 3% of the asking price. No marketing costs were incurred and all with a minimum of fuss to all concerned.

With National Park bordering us on one side, and the Southern Ocean on the other, land prices should continue to increase over time as the old law of ‘Supply and Demand’ proves itself.

As we have seen this year, the share market goes up and down, however coastal property remains a very safe bet historically.

Steve Ryan Photography

The siren of the AFL Grand Final sends a significant message to the coast.

* The 2009 AFL premiership cup again sits proudly in Geelong.
* The third term school holidays vacating are almost complete.
* Visitations and focus of local owners, absentee owners, would-be owners and visitors alike is again re-aligned to “our backyard”.

Many coastal traders report that their businesses are re-born with the seasonal return of Great Ocean Road Holiday coastal lovers. Expectations of record numbers are buoyant as the Geelong bypass puts a new definition of travel time and stress free motoring to coastal havens of Torquay, Anglesea, Aireys Inlet, Lorne and Apollo Bay. A trend that is also being reinforced by the coastal portals of our accommodation businesses.

What about real estate and coastal property values many will ask?

According to rpdata.com.au (ASX: RPX) property database, which is Australia’s largest and includes over 170,000 sales during the first eight months of 2009, home values in Australia rose by an exceptional 1.9 per cent during the month of August. This brings cumulative capital growth in the first eight months of 2009 to a better than expected 7.9 per cent. Leading the recovery through 2009 has been Melbourne with 11.6 per cent capital gain year to date in 2009.

From an interested observers perspective this increased market activity is another great sign for “our backyard”. Historically the coastal market has followed the trend of the “big smoke” albeit with a time delay of approximately 6 months prior to our seasonal cycle.

On average across our core business regions 57.7% of homes are owned by absentee property owners (i.e. second home owners).

Torquay 32.16%

Aireys Inlet 68.29%

Lorne 72.5%

Apollo Bay 57.72%

With our Melbourne Metropolitan and country visitors set to revisit there are a number of positives that reinforce our optimism for the coming year.

1. The brilliant Geelong bypass.
2. The added equity that many Melbourne Metropolitan property owners have build in their home.
3. Affordable interest rates for those who have income and cash flow security.
4. Numerous local projects and initiatives across the Surfcoast and Colac Otway Shire.

In summary there appears no better time to be entering or upgrading in our exciting coastal market.

Steve Ryan Photography