THERE is little doubt that the property market in Dubbo is continuing to grow, with a second organisation reporting a rise in housing figures for the city.
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Just weeks after the Orana division of the Real Estate Institute of NSW released figures that reported increases in median prices of both houses and units, Fairfax Media-owned website Domain has also reported growth in the city.
According to Domain reported a ‘robust’ increase in the median house price in the September quarter up to $355,000, an increase of 3.5 per cent.
The report was prepared by Domain’s chief economist Dr Andrew Wilson, who said “the resilient mid-west rural market of Dubbo continues to produce solid prices growth reflecting an ongoing robust local economic performance.”
Acting chairman of the Orana branch of the REINSW, Bob Berry, didn’t want to be drawn on the Domain figures, saying his group relies on figures provided by Australian Property Monitors (APM).
“We’ve got no doubt the figures released by Domain are right but we always go with the APM figures to maintain consistency,” Mr Berry said.
“They release figures every month on a rolling year basis and we find that makes it a lot easier. Housing stats are confusing enough for the average person as it is so we stick with what we’ve used over many years.
“If the figures don’t move, we don’t say anything, and if they do then we are able to compare on a yearly and 10-yearly basis.”
The most recent APM figures released by Mr Berry revealed the median house price had increased by 5.6 per cent to $345,000 during the 2015/16 financial year.
The median unit price rose by 8.2 per cent to $270,000.
Mr Berry said the market was being aided by strong rural conditions and a building boom.
“People have confidence in Dubbo,” he said.
“The APM report had the rental yield on the median advertised rent for a house at 5.4 per cent, and when you add that to the one-year capital growth of 5.6 per cent it becomes an 11 per cent return. Units was a 13.8 per cent return.
“People are getting good returns on their investments. They are selling and upgrading, or selling and building, and that means confidence keeps growing.
“Whichever stats you use, they all show growth.”
