Deer Park has been singled out as a suburb with affordable houses and high growth potential.
A PRDnationwide report analysing residential sales across the greater Melbourne region identified Deer Park as an “affordable house hotspot” in the second half of last year.
The Melbourne Hotspots report said suburbs outside the inner Melbourne ring remained popular with both owner-occupiers and investors, offering an affordable entry point into the hot Melbourne property market.
PRDnationwide managing director Tony Brasier said these outer-lying areas continue to gain momentum as private and state funded projects improve connectivity and fuel economic growth, attracting buyers.
“The north western suburbs in particular are benefitting strongly from this influx of funding, new facilities and economic impetus,” Mr Brasier said.
The report says Deer Park has plenty on offer with affordable price tags, and has shown continual growth over the past three years.
“Hotspots” are determined using factors including median house price growth, online interest, volume of sales, median rental price, vacancy rates and rental yields. Real Estate Institute of Victoria president Joe Walton says Deer Park experienced annual growth of 16.1 per cent from 2015 to 2016.
The average house price last year was $450,000 (191 sales), up from $387,750 (224 sales) the year before.
“The western suburbs are Melbourne’s fastest growing region, and Deer Park is benefitting from proximity to the CBD, its own train station and sizeable shopping facilities,” Mr Walton said.
Brimbank council’s acting city development director Matt Aquilina said the increase in house prices was a continuous trend. Where house prices close to the CBD are high, people trend towards areas such as Deer Park, Sunshine West and St Albans.
“These suburbs have relatively lower prices and are well serviced by community facilities, public transport and retail,” Mr Aquilina said.
“The increased interest in these areas has resulted in increasing house prices, which is a trend reflected across metropolitan Melbourne.”
Ray White St Albans director Shaun Marijanovic said Deer Park’s big blocks also allow for greater density, attracting investors.