Port Stephens Property Watch Q4 2013

Observing the house price points over the June half year period, houses in the $300,000 to $399,999 range represented 35 per cent of the market; the price point distribution remained mostly unchanged over the past three years as price-sensitive buyers maintained their presence at the bottom and middle parts of the market.

Unit activity also concentrated in the $300,000 to $399,999 price point, accounting for 31 per cent of transactions. Interestingly, the number of unit transactions over $500,000 increased markedly from 12 transactions in June 2012 to 22 transactions in the corresponding 2013 period. A greater number of transactions toward the top end of the market signalled renewed confidence in the areas attached dwellings and hinted that the bottom of the cycle may be in sight.

The rental market remained steady as vacancies created by tenants moving out were offset in the short term by new tenants moving in for summer. The region recorded an August vacancy rate of 3.1 per cent but is expected to decline to a two per cent vacancy by the end of the year. Prices in the 12 months to June 2013 remained steady, with the median rent price of a three-bedroom house showing a small decline, while the median rent of a two bedroom unit remained unchanged at $300 per week.

The table below highlighted the performance of the largest suburbs in the Port Stephens East area. Despite an overall rise in activity Corlette and Salamander Bay recorded a decline in the number of house sales between June 2012 and June 2013, while unit activity in these suburbs increased by four and eight transactions respectively.