Creswick Property Factsheet 1st Half 2019
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Creswick Property Factsheet 1st Half 2019
OVERVIEW
Positioned around 18km to the north of
Ballarat, Creswick* is a regional town
located within the Shire of Hepburn
LGA. The preferred method of sale for
the area is private treaty. This is evident
in the low volume of auction sales, with
just 2 occurring across the entire LGA,
and none of these being in Creswick*.
CHANGE FROM HALF
YEAR
LAST YEAR
House Sales
House Median Price
MARKET CONDITIONS
House Rental Price
In Q4 2018, Creswick* recorded a median house price of $390,000 and a median
vacant land price of $70,000. This represents annual (Q4 2017 – Q4 2018) price Land Sales
growth of 18.2% and -44.0% respectively. It should be noted that just 3 land sales
occurred in Q4 2018, which has caused a significant shift in median price. This is Land Median Price
thus not viewed as an accurate portrayal of the current value of land in Creswick*.
Compared to the Creswick 2nd Half 2018 Property Factsheet, which showed annual
(Q2 2017 – Q2 2018) growth of 4.6% (house) and -7.1% (land), houses in Creswick* FUTURE DEVELOPMENTS**
have strengthened in value, whilst land has become more affordable.
The wider Hepburn Shire Local Government Area (LGA) reported a 6.7% increase in The 1st half of 2019* is set to see projects
median house price over the 12 months to Q4 2018, to $475,000. At the same time, worth a combined $10.8M commence
land grew by 64.2% to reach a median price of $296,000. Again such a large shift in around Creswick*. Most projects are
vacant land pricing is partly due to a limited number of sales transactions. commercial at $7.3M (67.8%), whilst
$2.3M (21.0%) is infrastructure and a
The average house vendor discount in Creswick* widened slightly from -3.2% in Q4 further $1.2M (11.2%) is residential.
2017 to -3.3% in Q4 2018. This suggests that buyers are consistently able to secure
a discount below the seller’s initial asking price. Buyers are thus encouraged to act A blend of mostly commercial, plus some
now while it is still possible to achieve stable discounting in the current Creswick* infrastructure and residential projects is a
housing market. sound balance for providing Creswick*
with increased employment opportunities,
Houses in Creswick achieved a median rental price of $300 per week in Q4 2018. whilst catering for population growth and
This represents a median price change of -1.6% annually (from Q4 2017 – Q4 2018). improving the lifestyles of residents.
Average yields of 4.0% (house) and 5.8% (units) in Creswick* provide a solid reason
for investors to consider the area, especially when compared with Melbourne Metro’s One project of note is the Hepburn House
yields of 2.9% (house) and 3.9% (units). A vacancy rate of 0.6% sit below Melbourne Aged Care Facility ($6.5M). The project is
Metro’s 2.2%, emphasising the strength of the Creswick* rental market. set to add 46 beds in a new 2 level
building, plus the expansion of existing
facilities. Such a project will help support
HEPBURN SHIRE GROWTH families and an aging population, while
also providing local employment.
160 $600,000
Number of Sales
140 The King Street Residential Development
Median Price
$500,000
120 ($1.2M) is the only residential project, set
$400,000 to add 6 dwellings to the Creswick* area
100 with a mix of 2 and 3 storey dwellings to
80 $300,000 be constructed. Continued introduction of
residential projects is vital to support a
60 growing population.
$200,000
40
$100,000
20 *Creswick market data and key indicators encapsulates aggregate property
market conditions in the suburb Creswick.
0 $0 **Estimated values are based on construction value provided by the relevant
data authority and does not reflect commercial and/or re-sale value. Quoted
Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 construction and completion dates are estimate only, as per relevant data
authority.
Source: APM Pricefinder, realestate.com.au. © Copyright PRDnationwide 2019.
House Unit Vacant Land
Median House Price Median Unit Price Median Land Price
AVERAGEVENDOR
VENDORDISCOUNT
DISCOUNT
AVERAGE VENDOR DISCOUNT AVERAGE
Average
The averagevendor
vendor discount
discountreflects
reflects the
House average
the averagepercentage
percentage difference between
difference
0.0% first listed
between theprice andprice
first list finaland
sold
theprice. A
Change from Listing to Sale Price
lowersold
final percentage
price. A lower difference
percentagesuggests
-1.0% buyers are(closer
difference willingtoto 0) purchase
suggests close to
-0.7%
-3.2%
-3.3%
-3.3%
-3.5% the first
buyers areasking
willing toprice of aclose
purchase property.
-2.0% to the first asking price of a property.
-5.8%
-3.0% MARKET COMPARISON GRAPH
KEY
The FACTS
market UNIT graph provides
comparison
-4.0% a comparative trend for the median
price of houses and units over the past
-5.0% 10 years. Suburbs profiled are chosen
based on their proximity to the main
-6.0% suburb analysed in this Factsheet,
which is Creswick. The main suburb is
-7.0% shown as a dotted black line in the
Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 graphs below.
HOUSE MARKET COMPARISON
$600,000
$500,000
Median House Price
$400,000
$300,000
$200,000
$100,000
$0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Creswick Wendouree Miners Rest Daylesford
VACANT LAND MARKET COMPARISON
$300,000
$250,000
Median Vacant Land Price
$200,000
$150,000
$100,000
$50,000
$0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Creswick Wendouree Miners Rest Daylesford
Source: APM Pricefinder. © Copyright PRDnationwide 2019.
AVERAGE NUMBER OF DAYS ON THE MARKET**
70
60 KEY HOUSE FACTS Q4 2018
Average Days on Market
Median Sale Price: $390,000
50 Annual Growth: 18.2%*
Average Days on Market: 42
40 % Change Between First Listed Price
and Sold Price: -3.3%
65
30
59
53
KEY LAND
KEY FACTS UNIT*FACTS Q4 2018
44
42
20
Median Sale Price
Median : $785,000
Sale Price: $70,000
29
10 Annual Area Growth:
Annual 11%-44.0%*
Growth:
Average Days on Market: 36
% Change between First Listed Price and
0
Sold Price: -0.1%
Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
House Overall Market Trend
SALES AND MEDIAN PRICES**
30 $450,000
$400,000
25
$350,000
20 $300,000
Median Price
Number of Sales
$250,000
15
26 $200,000
24
23
10 $150,000
19
17
16
$100,000
5 10
9
8 8
7 $50,000
3
0 $0
Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
House Sales Vacant Land Sales Median House Price Median Vacant Land Price
*Annual growth represents price growth for property transactions between Q4 2017 to Q4 2018 (inclusive).
**Creswick market data and key indicators encapsulates aggregate property market conditions in the suburb Creswick.
Source: APM Pricefinder, realestate.com.au, SQM Research. © Copyright PRDnationwide 2019.SALES PRICE POINT COMPAITIVE ANALYSIS
HOUSE PRICE POINT 2017 HOUSE PRICE POINT 2018
2.6%
10.0% 10.3% 9.0%
5.0% 22.5%
Less than $249,999
1.3% 5.0% $250,000 to $299,999 9.0% 19.2%
$300,000 to $349,999
$350,000 to $399,999 6.4%
11.3% $400,000 to $449,999
21.3% $450,000 to $499,999
$500,000 to $549,999
$550,000 and above 20.5% 23.1%
23.8%
LAND PRICE POINT 2017 LAND PRICE POINT 2018
4.5%
6.5% 12.9%
9.1%
9.7%
Less than $99,999
31.8%
9.1% $100,000 to $124,999
$125,000 to $149,999 9.7%
$150,000 to $174,999 22.6%
9.1% $175,000 to $199,999
$200,000 to $224,999 9.7%
$225,000 to $249,999
18.2% 18.2% $250,000 and above 12.9% 16.1%
KEY IMPLICATIONS - HOUSES KEY IMPLICATIONS – VACANT LAND
Across 2018, the dominant price point for house sales in Creswick’s* dominant price bracket for vacant land sales
Creswick* was $300K-350K, with 23.1% of total sales. across 2018 was $100K-125K, with 22.6% of total sales.
This was also the dominant price range in 2017, at 23.8% In 2017, most sales fell into the less than $100K price
of total sales. The largest swing between 2017 to 2018 point, with 31.8% of sales. This bracket saw the largest
was in the less than $250K price bracket, which declined shift from 2017 to 2018, from 31.8% to 12.9%. This
from 22.5% in 2017 to just 9.0% of sales in 2018, a drop
of 13.5%. This indicates a strong reduction in the
AVERAGE DAY ON MARKET
represents a significant decline in the availability of the
most affordable land options in Creswick*.
availability of affordable housing stock in Creswick*.
Similar to the housing market, there has been a direct
There has been an upward shift in the price segments, upward shift in the sales proportions of land, with growth
with the $250K-300K bracket absorbing much of the sub- in higher price brackets as a result of fewer sales in the
$250K bracket. Thus suggests that while more affordable less than $100K range. Prospective vacant land buyers
options are still available, they are quickly increasing in are thus encouraged to act quickly also, as the market is
price, meaning buyers must act quickly to secure property. seeing vacant land increase in value across Creswick*.
*Disclaimer: Creswick market data and key indicators encapsulates aggregate property market conditions in the suburb Creswick.
Source: APM Pricefinder. © Copyright PRDnationwide 2019.INVESTMENT ANALYSIS
HOUSE
KEY HOUSE FACTS Q4 2018
2 Bedroom
Median Rent Price: $300 per week
3 Bedroom Rental Yield: 4.0%
4+ Bedroom Average Days on Market: 19
Bedroom Breakdown:
2 Bed: 24%, 3 Bed: 56%, 4+ Bed: 20%
KEY COMMENTS
Interest in Creswick* was recorded at an average of 819 online visits per
property. This represents a 18.9% increase on the Creswick 2nd Half 2018
Research Factsheet, which also reported 31.7% growth in visits from the
previous 1st half 2018. This suggests sustained increasing market demand in the
area. This said, the rental market has seen a decline in total activity, with just 7
house rentals reported for Q4 2018. However the Creswick’s* rental performance
remains positive, with an average house yield of 4.0% mremaining above
Melbourne Metro’s 2.9% average.
MEDIAN RENT AND AVERAGE DAYS ON THE MARKET*
16 350
14
300
Median Rent ($) / Average Days on Market
12
250
Number of Rentals
10
200
8
14 14 150
6
11
100
4
7
6
50
2
3
0 0
Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018
House House Average Days Median House Rent
*Disclaimer: Creswick market data and key indicators encapsulates aggregate property market conditions in the suburb Creswick.
Source: APM Pricefinder, realestate.com.au, SQM Research. © Copyright PRDnationwide 2019.RENTAL PERFORMANCE 2018* KEY COMMENTS
Rental returns in Creswick* of 4.0% for
Median House Rent P/W Annual Change houses and 5.8% for units are healthy,
$350 7.0% particularly when compared to other
6.0% -1.7%
6.0% regions, including Melbourne Metro’s
$300 2.9% (house) and 3.9% (units) returns.
3.3% 5.0%
$250 4.0% 3-bedroom houses provided the
highest annual rental growth at 6.0%.
$200 3.0%
2.0% Vacancy rates in Creswick* remained
$150 $320 at a very low 0.6%, sitting below both
$295 1.0%
$265 the Hepburn Shire LGA (0.7%), as
$100 0.0% well as Melbourne Metro (2.2%).
-1.0% Together, these factors suggest that
$50 Creswick* is a market which investors
-2.0% seeking regional property should
$- -3.0% consider for income stability because
2-Bedroom 3-Bedroom 4+ Bedroom of its low vacancies and solid returns.
VACANCY RATES 2018 RENTAL YIELD 2018
3.0% Suburb/ House Unit
Postcode/ Rental Rental
2.5% LGA Yield Yield
2.0% Creswick 4.0% 5.8%
1.5%
Wendouree 4.7% 5.4%
1.0%
Miners Rest 3.3% 3.0%
0.5%
0.0% Daylesford 3.0% 4.0%
Dec-15
Mar-16
Jun-16
Sep-16
Dec-16
Mar-17
Jun-17
Sep-17
Dec-17
Mar-18
Jun-18
Sep-18
Dec-18
Western
Victoria 4.2% 5.0%
Melbourne
Creswick Hepburn Shire Melbourne Metro Metro 2.9% 3.9%
AUCTION CLEARANCE RATES 2018 Q4 18 COMPARISON
100.0%
Suburb/ Auction
80.0% Postcode/ Clearance Rate
LGA
Auction Clearance Rate
60.0%
N/A (no auctions
40.0% Creswick**
in Q4 2018)
20.0% Hepburn Shire
100.0%
LGA
0.0%
2013 2014 2015 2016 2017 2018 Melbourne
46.3%
Hepburn Shire LGA Metro^
*Rental performance graph represents aggregate house median rent prices in the suburb Creswick. Annual change is a comparison between 2017 and 2018 median rent figures.
**Auction Clearance rates for Creswick are for all residential auctions held in the suburb Creswick. ^Capital city data obtained by accumulating Domain’s weekly auction clearance results.
Source: APM Pricefinder, Domain, SQM Research. © Copyright PRDnationwide 2019.PROJECT DEVELOPMENT MAP 1st HALF 2019*
21.0%
11.2%
67.8%
Commercial
Residential
Infrastructure
Estimated
Location Project** Type Commence Date****
Value***
1 Hepburn House Aged Care Facility Commercial $6,500,000 18/06/2019
2 Trentham Aged Care Commercial $800,000 02/02/2019
3 Bleakley Street Footpath Infrastructure $400,000 04/04/2019
4 Trentham-Springhill Road & Springhill Road Intersection Infrastructure $400,000 17/04/2019
5 Wills Square & Camp Roadworks Infrastructure $350,000 24/04/2019
6 Ascot Creswick Road Development Infrastructure $300,000 15/06/2019
7 East Street Bridge Infrastructure $300,000 25/05/2019
8 Doctors Gully To Hepburn Springs Development Infrastructure $250,000 15/05/2019
9 Standbridge Street Development Infrastructure $161,000 15/01/2019
10 Mulcahys Road Development Infrastructure $100,000 15/06/2019
11 King Street Development (6 Dwellings) Residential $1,200,000 30/04/2019
*Disclaimer: Project development map showcases a sample of upcoming projects only, due to accuracy of addresses provided by the data provider for geocoding purposes.
**Projects refers to the top developments within the suburbs of Creswick, Daylesford, Hepburn Springs and Trentham.
***Estimated value is the value of construction costs provided by relevant data authority, it does not reflect the project’s sale/commercial value.
****Commencement date quoted for each project is an approximate only, as provided by the relevant data authority, PRDnationwide does not hold any liability to the exact date.
Source: Cordell Database, ESRI ArcGIS. © Copyright PRDnationwide 2019.ABOUT PRDnationwide RESEARCH
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