According to realestate.com.au, by searching in the most affordable parts of a suburb instead of the most expensive areas, a typical home buyer could save about $365,000 on their house purchase.
PropTrack carried out an analysis of small neighbourhoods has revealed each suburb’s most affluent area, as well as pockets of affordable housing.
“Properties in some of Australia’s most expensive pockets can be worth double the median value of their suburb, and in some cases, as much as 10 times more than homes in the suburb’s most affordable areas” says Daniel Butkovich, Property Journalist.
Paul Ryan, PropTrack Senior Economist said, “Across Australia, the median difference between the lowest and highest median values is $365,000 for houses and $330,000 for units, but the variation is much higher in expensive suburbs.”
Why property values vary so much within suburbs
Mr Ryan said a variety of factors influenced the variation in valuations within a suburb, including the amenity of the local area, infrastructure access and school zones.
“Every home is a package of where it is and what it is, and where it’s located matters enormously”.
Water views or access have the most obvious effect on values, especially in already-expensive areas, with a waterfront position in an exclusive suburb typically adding millions to the neighbourhood median.
Even when water isn’t a factor, some pockets command higher prices when positioned to take advantage of a suburb’s best geographical features, such as parklands or hills offering an elevated position and views. Proximity to golf courses is a factor, too.
In some areas, simply a convenient position that shortens a commute or allows easy access to shops a local park could be what pushes prices higher.
How do the Redlands suburbs compare?
Click on the link below to go to this article online and see how your suburb prices compare.
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