Long term: Houses flat, units down, but current vacancies low

p2340-Doug-FraserBy ERWIN CHLANDA

 

Median house prices across Alice Springs reached a peak of $461,000 in the year ending June 2011, up from $282,000 in 2006, and have remained pretty well at that level.

 

They climbed to $485,000 last year but dropped to $465,000 in the year ending June just gone, according to statistics released today by Doug Fraser (pictured), Managing Director of LJ Hooker in Alice Springs.

 

His figures show there were 540 houses sold in 2005/06 compared to 314 in 2016/17.

 

The peak for units was also in 2010/11 with $346,000, up from $198,125 in 2006. By 2016/17 the median price for units had dropped to $305,000, following a decline of 8.9% in the last year, according to the figures released by Mr Fraser.

 

The number of sales in the fiscal year just ended was 115 units, lass than one-third of the 2006 figure which was 357.

 

Back to the present, in the quarter ending September 17 this year the median price for houses was $473,500, slightly up on the preceding quarter.

 

Rural homes towered over the rest at $800,000, followed by Desert Springs and Mt Johns at $645,000. 78 houses were sold.

 

There was one unit sold in Araluen for $592,000 in the most recent quarter, and one in Sadadeen for $410,000.

 

Eight units each were sold in the Eastside with $352,500 the median price, topping Gillen with $310,000. 32 units were sold in all, three fewer than in the preceding quarter.

 

Mr Fraser says in the most recent quarter there were six house sales over $800,000 with the most significant being in Cromwell Drive for $1.125m, one on the Ross Highway for $1.1m and one in Mparntwe Drive for $950,000.

 

He describes the commercial and industrial market as “subdued during the quarter” with the only significant sales being the old Clark Rubber site in Whittaker Street, for $1.35m, and a vacant allotment on Todd Street selling for $710,000. There was also the sale of a block of five flats on Larapinta Drive for $685,000.

 

“The residential vacancy rate has improved dramatically since January this year,” says Mr Fraser.

 

“Vacancy rates were in double digits only 12 months ago and the rate has now fallen to less than 2%.

 

“This augurs well for property investors and also shows that there are still employment opportunities for people looking to come to live in The Alice.

 

“The NT Government’s Housing for Real Growth Scheme has been enormously successful with many new arrivals taking advantage of this very generous scheme.

 

“It is unfortunate however that the government has decided not to allocate further funds in order that new properties could be constructed to satisfy the increased demand for subsidised rentals.”

 

 

 

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