New infrastructure spend boosting Perth hotspots
Over half a billion dollars in infrastructure investment is good news for two popular Perth hotspots, which data indicates are already top performing locations.
Data from the Real Estate Institute of WA shows Two Rocks is the fourth-best Perth suburb for house price growth by 6.4 per cent to $360,000 and Yanchep was third for land price increases by 5.5 per cent to $210,000 over the September 2018 quarter, yet these areas are expected to see even more returns through increased infrastructure spendage.
Jarrod Rendell, project director for Atlantis Beach estate in Two Rocks and Capricorn Beach estate in Yanchep, said the upcoming infrastructure planning and improving housing affordability in the area was why the suburbs were so popular.
“The areas of Yanchep and Two Rocks are proving very popular with buyers due to major new transport infrastructure in the area that will significantly cut commuting time to the city centre, such as the planned $220 million freeway extension to Romeo Road, the current duplication works on Marmion Avenue between Butler and Yanchep, and the committed $440 million new rail link to Yanchep,” Mr Rendell said.
“Other important new infrastructure that has been recently developed in the area includes the new Atlantis Beach Baptist College in Two Rocks, the recently opened Yanchep Secondary College, Yanchep District playing fields, as well as the new Yanchep Surf Club.
“In addition, a wide range of other new facilities are expected to open in the coming months covering child and health care.”
Mr Rendell also said the upcoming infrastructure and coastal lifestyle are attracting more families, which he claimed is bringing up property values as a result.
“There is the strong potential for current property buyers in the Two Rocks/Yanchep area to achieve strong levels of capital growth moving forward because property prices in this prime coastal strip are still well below average Perth property prices,” he said.
“Once the new rail and road links are completed in a few years time, we should see strong and sustained rises in property values in the Two Rocks and Yanchep areas, similar to what occurred in areas like Butler and Clarkson when train stations were completed in those areas.”
The two suburbs are also benefiting from improvements to the state economy, which Mr Rendell said is driving up buyer confidence.
“For example, the latest ABS employment figures for October 2018 show that the number of people in full time employment surged by 10,700 through the month to reach the highest number since early 2015,” Mr Rendell said.
“Improving consumer confidence in the economy is a key driver of this trend and this improving confidence has been highlighted by the latest Chamber of Commerce and Industry Consumer Confidence survey released covering the September 2018 quarter.
“This improvement in consumer confidence was further underlined by ABS housing finance figures for September 2018 that showed a jump of 4.7 per cent to 4,993 finance approvals in Western Australia despite a national slump of 1 per cent.”
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