Kyneton Research Factsheet 1st Half 2018
The Kyneton property market recorded a median house price of $507,500 and $260,000 for vacant land in Q4 2017, representing an annual price change of 2.5% and 10.6% respectively. Over the same period of time house prices in the Shire of Macedon Ranges grew by 8.3% to $622,000 and land prices grew by 9.4% to $262,000. Kyneton* property prices are well below that of the Shire of Macedon Ranges, indicating it provides home owners and investors great entry price points with the benefit of positive growth.
The Kyneton property market for houses has demonstrated a healthy balance for both sellers and buyers. Average days to sell improving over the past 12 months and is currently sitting at 53 days in Q4 2017. Thus sellers are achieving sale of their properties quicker. At the same time, average vendor discounting for houses has widened from -2.3% to -3.4%. This suggests that there is more room for buyers to negotiate and that sellers are willing to accept offers lower than their first asking price. This indicates that now is the time for buyers to enter the property market.
Astute investors are benefiting from 3.9% (house) and 5.8% (unit) rental yields, which are higher than that of Melbourne’s rental yields at 2.7% and 3.8%, respectively. Median rents for both houses and units in Kyneton improved over the past 12 months to Q4 2017, currently at $400 per week and $345 per week respectively.Kyneton’s future developments has strengthened, with approximately $24.2M worth of new development projects earmarked to start in the 1st half of 2018. The majority is accounted for by commercial projects (62.3%), estimated at $16.5M. Spill-over effects of overall economic growth and increased job opportunities are bound to boost the property market. Residential developments, at approximately $5.1M (21.3%) will add 14 townhomes and 38 lots to cater for forecasted population in the coming years.