As published by Herron Todd White Valuers
Looking back twelve months, the prediction of a steady Toowoomba market has proven to be accurate. The total number of properties listed for sale year on year is similar, however sales volumes have continued to soften over the past twelve months and values have remained steady.
The Toowoomba property market is relatively affordable when compared to many locations in Australia, therefore half a million can purchase a wide range of properties. The $500,000 price point is mostly dominated by the owner-occupier sector and comprises many different properties such as renovated older character homes within the established inner suburbs, original and renovated 1970s to 2000s brick homes in many suburbs, new houses in developing areas and homes on larger acreage lots in close-by neighbouring suburbs.
Investors are far less active above the $400,000 price point in Toowoomba.
With this month’s focus on the $500,000 price point, we have provided recent examples of property sales in this segment.
Below is a sale of a typical, owner-occupier home in the established area of Middle Ridge. This property sold for $500,000 and comprises a 4-bedroom, 2-bathroom dwelling with double garage.
An alternative option for buyers seeking larger lots is represented by the sale of a 6-bedroom, 2-bathroom dwelling in the satellite suburb of Westbrook for $510,000. This property features a 2,371 square metre lot and a detached shed.
For those seeking older style character homes, this property in Mount Lofty sold for $500,000 and comprises a renovated, extended 4-bedroom, 2-bathroom dwelling with detached double garage and six square metre Colorbond shed.
The $500,000 price point in Toowoomba and surrounding areas is well above the median house price which is around the $390,000 mark. Therefore, there are many areas across the region where homes can be secured at this price. Areas which may generate superior capital growth or resale appeal are likely to be concentrated in the eastern suburbs including Mount Lofty, East Toowoomba, Rangeville and Middle Ridge.
It is also possible to secure two dwellings at this price point in Toowoomba. Some older style detached dwellings (2- to 3-bedroom, 1-bathroom) in the western suburbs including Harristown, Newtown and Wilsonton are selling at between $200,000 and $300,000 and can provide strong rental returns. Two older style or even semi modern strata units can easily be purchased for under or up to $500,000, reflecting the affordability of the Toowoomba residential market.