The two Australian states where it's a buyers' market

While property values are rising strongly in most markets across Australia, it’s a vastly different story in Victoria and Tasmania, new data from CoreLogic shows. Over the 12 months to May 31, the median house price lifted just 1.8 percent in Melbourne and fell 0.6 percent in regional Victoria. The median dipped 0.1 percent in Hobart and ticked 0.4 percent higher in regional Tasmania. This is in stark contrast to Perth, where values are up 22 percent, and regional Western Australia, up 14.8 percent; as well as Brisbane, up 16.3 percent, and regional Queensland, up 11.8 percent.

CoreLogic Head of Research, Eliza Owen says an oversupply of homes for sale has weakened prices in Victoria and Tasmania, creating buyers’ markets.

“On the supply side, there has been more of a build-up in new listings than usual across Victoria, even where home value performance has been relatively soft,” Ms Owen said. “Victoria has also had more dwellings completed than any other state and territory in the past 10 years, keeping a lid on price growth. The additional choice in stock … means vendors have to bring down their price expectations, and that brings values down.”

Melbourne dwelling values are now four percent below their record high and Hobart dwelling values are 11.5 percent below their record high. Both records were set more than two years ago in March 2022. The oversupply has also affected how long it takes to sell a property. The median days on market is currently 36 in Melbourne and 45 in Hobart compared to a combined capitals median of 27. It takes 55 days to sell in regional Victoria and 64 days in regional Tasmania compared to a combined regional median of 42 days.

Changes in population patterns have also contributed to higher numbers of homes for sale in recent years. Since COVID began in early 2020, thousands of families have left Melbourne because working from home meant they could buy a bigger property in more affordable areas. While many relocated to regional Victoria, a significant proportion left the state altogether, with South-East Queensland a favoured destination. Meantime, Tasmania’s surge in interstate migration during FY21 was short-lived. Data from the Australian Bureau of Statistics shows the island state has recorded a net loss of residents to other states and territories every quarter since June 2022.

Record overseas migration has more than offset interstate migration losses, thereby keeping Victoria’s and Tasmania’s populations growing. However, the impact of migrants on housing is largely seen in the rental market, so this segment of population gain has done little to support values. Growth in weekly rents has been far stronger than growth in home values over the past year, with rents up 9 percent in Melbourne and 4.8 percent in regional Victoria, and up 1 percent in Hobart and 2.7 percent in regional Tasmania.

An equine retreat in the Byron Bay hinterland has recently resurfaced with a substantial price amendment, amounting to as much as a $4 million discount.

After initially listing for $14 million late last year, Yverlyn Farm is now on the market with price expectations between $10 and $12 million through Deborah Cullen and Richard Royle of Forbes Global Properties.

Tucked away in Brooklet, near Olivia Newton John’s former Gaia retreat and 22kms from the famous shores of Byron Bay, the 14ha estate blends the best of the region’s remote natural beauty with world class equestrian facilities and unobstructed views of the majestic Nightcap Ranges and Minyon Falls.

Owned by boutique renovation expert Rose Deo, co-founder of game design company Halfback Productions the company behind Fruit Ninja, Yverlyn Farm was once a working wholesale nursery. Today the luxury estate has been transformed into one of Byron Bay’s most desirable equestrian estates, home to a modern four-bedroom residence, additional guest accomodation, contemporary stables, an Olympic arena, several paddocks, and expansive grounds.

In the main house the spacious layout incorporates multiple living spaces framed by a choice of outdoor areas from the wraparound veranda to the alfresco dining area.

At the heart of the single-storey footprint, a grand dining room features a cosy sandstone combustion fireplace and an adjoining shaker-style kitchen features an imported Lacanche range cooker, bespoke cabinetry, and deVol aged brass tapware. There is also a butler’s pantry and laundry with external side access.

All four bedrooms have built-in wardrobes and big windows showcasing the picturesque natural surrounds. From the primary suite there are panoramic views of the hinterland, a large walk-in wardrobe and grand ensuite with freestanding bathtub.

When it comes to outdoor features there is a fully tiled and heated mineral pool, a majestic tree-lined driveway, a French limestone fountain, an orchard, parterre garden, and established vegetable patch. The property’s rich history is also evident in its original drystone fences, a legacy of the Irish settlers who built them in the late 1800s.

For the equestrian enthusiast, Yverlyn Farm includes a professionally designed stable block with six air-conditioned stalls, covered day yards, a tack room and wash bay. A full-sized Olympic arena comes complete with LED lighting and an irrigated European surface.

Above the stable block, a fully self-contained guest suite has two bedrooms with ensuites.

Additional accommodation includes the original dairy which has been transformed into a studio or office space with a slow-combustion wood fireplace, kitchenette and bathroom.

Nine paddocks and a dam provide ample space for roaming horses to roam and there is a separate barn plus a machinery shed.

Yverlyn Farm is listed with Deborah Cullen and Richard Royle of Forbes Global Properties with a price guide of $10 to $12 million.

The two Australian states where it’s a buyers’ market

Property values have experienced strong growth around the country, but there are two highly desirable areas where oversupply is putting downward pressure on sales