Looking for an affordable property? Our list of the top 10 affordable suburbs in the Australian Capital Territory right now, might help you.
The Canberra property market is strongly forging ahead despite the COVID-19 virus and related impacts on the Australian economy. Until the recent lockdowns, the Canberra economy had appeared almost bulletproof through the coronavirus recession, supported by a high government employment level and the highest median household incomes in the nation.
The housing market in Canberra has been a top performer over the past year. Prices have increased significantly, and the stock levels have been exceptionally tight, with properties selling very quickly. Despite this, there are pockets of affordable houses and bargains can be found; if you have a long-term strategy, you can expect solid capital growth over the next few years.
Mortgage rates are still close to the lowest on record and there are some opportunities for those with good savings and a level of employment security. The ultra-low mortgage rates have also created a unique environment where buying a house in many areas has been cheaper than paying rent on one.
RiskWise Property Research has undertaken an in-depth analysis of the housing market, identifying the top 10 affordable suburbs in the Australian Capital Territory. The analysis clearly showed that detached houses represented solid buying opportunities for those intending to hold on to the property for several years or longer.
There are decent opportunities for home buyers looking for houses with high land value as a proportion of the property, and a strong component of scarcity, especially if they intend to hold on to the property for several years or longer. There are cheaper suburbs in more distant or less favoured locations, but buying in the lowest quartile of the housing market can sometimes come with its challenges and risks.
The top 10 suburbs in the ACT
The top 10 suburbs for the affordable houses in the Australian Capital Territory included a range of suburbs at around 70% of the median capital city house price for the state.
|Suburb||Postcode||Distance from the CBD||Median Price||Median Capital City Price||1-Year Growth||5-Year Growth|
The list comprised a range of suburbs located around 10 to 20 kilometres from the Canberra Central Business District. Median prices in these suburbs sit between $650,000 and $750,000, compared to a median house price for Canberra of around $850,000.
COVID-19 has also helped strengthen work from home opportunities, meaning owner-occupiers can take advantage of ‘lifestyle’ prospects instead of being closely tied to the main employment hubs.
While there are still excellent opportunities for houses in Canberra and its immediate surroundings, units continued to carry a materially higher level of risk, on average.
Interested in finding out what the top ten suburbs in another state are?
Check out the top 10 affordable suburbs in New South Wales
Check out the top 10 affordable suburbs in Victoria
Check out the top 10 affordable suburbs in southeast Queensland
Check out the top 10 affordable suburbs in South Australia