Canberra property market poised for strongest spring in years

Canberra’s cold and frosty winter is often seen as a hibernation period for the property market. However, the past few months have produced some fantastic results right across the capital. Suburb records have been smashed, auction clearance rates are the highest they’ve been in years and buyers are keen to make the most of the record low interest rates.

As the temperature rises and more homes come on the market, experts predict a competitive season ahead. There are plenty of buyers who have been waiting for the right property and Domain Group senior economist Andrew Wilson says Canberra is in for its strongest spring in at least five years.

“We’ve just released our capital city auction report for the month of August and we’ve got some very positive news for the Canberra market,” Dr Wilson says.

“It’s been quite a subdued market, a volatile market, but now we’re seeing a lot of momentum – it’s not as fragile as it used to be. We’re seeing more auctions, higher clearance rates and a significant rise in auction prices.”

August recorded the highest median auction price on record at $690,500 – a jump from July’s median of $650,000 and well above the median price of $607,000 in August last year.

The clearance rates have also lifted to 71.2 per cent, compared with 59.6 per cent in August last year.

“Canberra is ticking all the boxes in the auction market,” Dr Wilson says.

“The clearance rate is starting to head towards Sydney rates, and in terms of the market rising it is second only to Melbourne, with other markets reasonably flat over August.”

Peter Blackshaw principal Albert Stavaruk says confidence has returned to the Canberra market and buyers are looking forward to a greater supply on the market in spring.

“Most people have got over the fear of job losses with the new government coming in and the cutbacks,” Mr Stavaruk says.

“It will certainly be a lot busier. We expect to have more homes on the market and we certainly do have a lot of buyer interest in the marketplace.”

More buyers will be on the market this year as owners of Mr Fluffy properties continue their search for a new home.

“The demolition of the five pilot Mr Fluffy homes has taken place and now the process is about to get into full swing with indicative dates given to owners when the properties will be demolished,” Luton Properties Woden agent Anthony McCormack says.

“It will be interesting to see the impact, if any, that these blocks coming back onto the market have. In general, if stock levels remain low, prices should remain strong simply due to competition levels at the moment.”

REIACT president Frank Pompeani says spring traditionally sees a lot of buyers looking to make the move and settle into a new home before school starts back after Christmas.

“A lot of families make the decision to come onto the market in spring for a Christmas/New Year settlement ready for the school year,” Mr Pompeani says.

In addition to the extra competition on the market, Mr Pompeani says there are a lot of factors that will see prices continue to rise throughout the season.

“There’s the lowest interest rates on record, good solid job prospects, the nation’s capital is ready to take that next step and prices are starting to trickle in an upwards direction,” he says.

Tips for buyers

• Consider the market – Domain Group’s Andrew Wilson says Canberra has seen three consecutive quarters of price growth and it’s set to continue. If you’re thinking of buying, it’s worth getting in while the market is growing.
• Do your research – Peter Blackshaw’s Albert Stavaruk says it’s relatively easy to research the Canberra market – the range of properties isn’t as broad as it is in Sydney or Melbourne. Compare your potential home with others in the suburb to ensure the price is right.
• Be decisive – Mr Stavaruk says there will be a lot of competition on the market this spring. “It’s a matter of educating yourself reasonably well and trying to not overthink everything,” Mr Stavaruk says. He says if the house ticks all the boxes, is realistically priced and you feel comfortable in the home, you should be prepared to act fast.
• Don’t be fooled by the warmer weather – REIACT’s Frank Pompeani says you should envision what the home will be like in winter. Consider the energy rating, the aspect of the home, the insulation and the heating.

Hughes townhouse lets the sun shine in

This spring will be a busy one for the Shaw family. They’ve just moved into a new home in Garran and their townhouse in Hughes will go under the hammer this month.

The three-bedroom townhouse has provided a comfortable home for Geoff and Kylie Shaw’s growing family. The lawyer and doctor moved into the home in 2010 and have since had two boys, Oliver, 4, and Daniel, 2.

“It’s been a really good home to evolve in,” Dr Shaw says.

Mr Shaw says the central position has been great for the couple who often work late nights, while the three-bedroom, three-en suite arrangement has also been very convenient.

The home enjoys a perfect northern aspect, which allows plenty of sunshine to stream into the living areas and designer kitchen. A lovely courtyard flows from the open-plan living spaces and looks stunning at this time of year.

The Shaws have moved into an older-style home on a larger block which they plan to renovate.

Number 2/26 Poynton Street, Hughes, is open this Saturday from 10.30 to 11.15 am. It will be auctioned at 2pm on Saturday, September 19, on site. For details, phone Luton Properties Woden agent Anthony McCormack on 0425 283 588. Price guide: Low to mid $700,000s. EER: 4.5.

Executive elegance for growing family

50 Roebuck Street, Red Hill 
$1.8 million +

Growing families and entertainers will love this superb executive residence. The five-bedroom home enjoys a northerly aspect and magnificent views towards the city and Black Mountain.

Year-round entertaining will be a breeze, with a range of spaces to suit every function. The stunning dining room is perfect for formal entertaining, while the adjacent living room offers the comfort of an open fireplace.

The al fresco spaces are sure to be popular during the warmer months. A private outdoor entertaining area flows on from the huge family and meals area and includes a sparkling heated pool and an outdoor kitchen.

“It has been a wonderful home for our family to grow up in. Everyone has their own space, but when we want to spend time together or entertain, the indoor and outdoor living spaces are perfect,” say owners John and Jennifer.

The expansive home includes about 345 square metres of living space, with four bedrooms set on the main level of the home. The master bedroom has its own en suite, while the remaining bedrooms share a sumptuous renovated bathroom overlooking the private rear courtyard.

A fifth bedroom is downstairs, alongside the third bathroom. With a rumpus room also on this floor, it’s the perfect space for the ultimate teenager’s retreat.

Other features include a huge double garage with access hidden from the street, ducted heating and cooling, and beautifully landscaped gardens.

The home at 50 Roebuck Street, Red Hill is open for inspection this Saturday, from 2.30-3.30pm and Sunday, from 1pm-2pm. It will be auctioned at 12pm on Saturday, September 19, at noon, on site.
Phone Peter Blackshaw Real Estate Manuka​ agent Albert Stavaruk​ on 0418 628 641. EER: 1.