Byron Bay real estate – market watch
So far, the Byron Bay real estate remains firm. There is still a deep demand for good property and buyers are prepared to pay over market value for good stock. This includes anything with character, location, views, privacy and no road noise. Some agents are predicting a downturn in the near future. The banking royal commission and the resulting restriction on lending are certainly having an effect. Up to one-third of possible sales are being knocked back because of the tighter approval standards. However, this is not affecting top-end so much, as top-end buyers are not as dependent on credit approval.
It could go either way. As we move into the spring selling season, strong sales numbers may be sustained and we will uncouple from the traditional Sydney/Melbourne market trend of being 12 months behind. Sydney prices peaked last July and is now off nearly 6%. The national market peaked this time last September. It will be interesting to watch. Our region (postcodes 2479 – 2483) may stay in its own trajectory. Or it could go into a slide as buyers dry up and refuse to pay the higher prices. Logic would suggest that. Either way, there will still be the move in to regional areas – see next article.
Baby Boomers still moving
The main reason we may see ongoing demand in lifestyle destinations is the movement from the cities to the regions. According to Mansion Australia magazine, the nearly quarter of million city escapees during the last five years is set to continue. The shift to the regions will continue making sense when you can sell in the city, buy in a regional town, have the cash to spare and not have too much loss of amenity. The most popular destination for Sydneysiders have been the central coast, with 24,000 new arrivals recorded in the 2016 census. Hot destinations also include Thirroul on the south coast, Queensland Sunshine Coast, and Gold Coast also experiencing continued high migration levels.
Rentvesting is a growing trend. Basically, this is where someone rents where they want to live, but buys where they can afford. It is becoming more popular as a way for first home buyers to get a foot on the property ladder. I have done a few searches for clients wanting to do this. I have found good yielding properties in places like Murwillumbah, Lismore or Ballina. There is still upward growth in these markets and an option for people who find Byron Bay buying far too unaffordable.
Recently I attended an auction that highlighted this above scenario exactly. I was bidding for a client at a lovely family home in Bangalow. The estimate was $1.1-1.2M. The bidding raced past $1.2M before I had a chance to get my hand out of my pocket. I was left bid-less and could only watch as it reached $1.37M. The last two bidders were a couple of older baby boomers dueling each other. Beside my clients, the under-bidders were at least three younger couples with kids in prams and harnesses. I felt sorry for them and could see how the odds are stacked against them entering this market.
Here is a previous article from BPS archive – Tips to bid at Auctions. If you or anyone you know is planning to attend an auction, it does pay to have someone relaxed, experienced and knowledgeable about the process, to bid for you. BPS charges $750 (+GST) and can be well worth the investment.
Tim is on the Team
Does Federal have an amateur dad’s soccer team? If so they may be getting a new recruit trying out for teh team sometime soon. Superstar Socceroo Tim Cahill, purchased a house on acreage in Eureka late last year (pictured in the heading) but is yet to turn up at training. The three bedroom, two bathroom home sold for $1.7M and is on 13 acres.
Liam is tops
Local real estate agent Liam Annesley of LJ Hookers has been recognised as a top agent. The Diamond Multi-Million Dollar Club is for the top 2.5% of the Hookers international network. I have worked with Liam a number of times and he is a quiet achiever, working diligently in the background and never being showy or making a fuss. A true local, he grew up in the bay, which may help him get a good share of those top end Watego Beach listings. I bet he regrets he did buy a few blocks back then.
Oh Oh Sushi!
Another local establishment in line for an accolade is Japanese restaurant O’Sushi. Maybe the reason why proprietor, Sharny had to double the size of the Byron Bay establishment (one of four) a few years ago was to find wall space for all the awards and nominations. This time they have been shortlisted for an award in the Excellence NSW Regional Asian Restaurant category. It’s a great casual eat out and try the Beef Salad or the Teriyaki Chicken.
I have always been intrigued by the Byron Shire road walkers. Over the decades I have been here there have been one or two individuals constantly walking the rural roads. At the moment, it’s the guy who wears a garbage bag, Alfred, and the other one, Shanti, who wears a sombrero, bright pink or blue matching outfit and a cane. Citizens concerned for Alfred’s and their own wellbeing have a facebook page. This is for people interested in tracking Alberts whereabout and movements. Isn’t the internet wonderful? The things you can do! Shanti is a sweet and harmless character. Give him a lift and you get an interesting discourse of the meaning of life and how to be happy.
A few years ago there was one youngish guy walking up and down Wilson’s Creek Road – every day. For those not aware, Wilsons Creek Road is very narrow and windy. It was quite dangerous. You could come across him at night, in the rain, just walking back and forth. I think its a form of therapy. They seem to walk for a few months to a year and then move on. Let’s try to get the Rail Trail up and going to give our road walkers somewhere safe to do their thing.
The follow up to this form of road walkers is the walk for political purposes or to publicise a cause. In the genre is the launch for local filmmaker Darius Deva this Thursday night at the Pighouse Flicks. The film follows aboriginal protestor, Clinton Pryor’s 11-month walk from Perth to Canberra. More info here at this facebook page.
More on Film Coming Soon
If its film and film culture you are interested in – watch out for the Byron Bay Film Festival. It is coming in October. Its a great festival and always worth a look. The team are putting out a call for volunteers to help. If you are interested in tix or volunteering, have a look at the website.