Tumbarumba Research Factsheet 2nd Half 2017
Tumbarumba has experienced an annual trend of positive capital growth for houses and a softening for vacant land. Median sale prices in the region have been at $230,000 for house and $28,250 for vacant land in Q2 2017. Similarly, house prices in the Snowy Valleys Council LGA recorded $235,000 and $83,500 for vacant land. Tumbarumba property prices sit below the LGA, indicating that Tumbarumba is a more affordable entry point into the market. Those interested in the housing market can take advantage of the affordability and positive capital growth.
Median house rents in the Tumbarumba area have grown in the last 12 months to Q2 2017, currently at $250 per week. Vacancy rates have remained competitive and declined to an average of 1.5% in July 2017. Suggesting that more residential stock is needed in the market, to answer high rental demand. Strong house rental yields of 5.7% is evident for the Tumbarumba area, which provides conducive market conditions for astute investors to receive solid and sustainable returns on their investments.
Project Development in the Tumbarumba area commencing between 2013 and 2018 is estimated at $30.1M. Project development over the five year period has been focused on a balanced scope between infrastructure and residential projects. Home buyers will be attracted by the affordable prices, which presents the need to provide more residential stock to the market to meet increasing demand.