Waterfront within reach attracts investors to Falcon
Beachside living also offers a savvy investment opportunity on West Australia’s south coast.
When COVID-19 kicked off a regional revolution, those who had invested in waterfront lifestyle locations like those on the coastal trail just south of Perth reaped the rewards of Australians testing out their sea change dreams.
But just because you didn’t get in before the remote work boom opened up housing opportunities across the country doesn’t mean you missed the boat.
In fact, there are plenty of opportunities – and boating – to be found in Falcon, a waterfront WA suburb that was recently named in the highly coveted Smart Property Investment FAST 50 ranking for 2024.
The report and ranking combined the insights of a 14-strong investment expert panel and recent housing performance drawn from open-source data, and aim to give unparalleled insight into the Australian suburbs that are set for future growth.
In Falcon, a suburb located in the wider city area of Mandurah, the panel found good yields for those looking to capitalise on renters’ thirst for life on the water.
The property market in Falcon features a diverse range of housing options, including luxurious waterfront properties with frontage on Falcon Bay’s beachfront, modern apartments, and spacious family homes. With a median property price of $305,000, it’s substantially lower than Perth’s $550,000, representing great value for those in the WA market. Yet still the capital is within easy reach at 80km away, making it doable for the semi-frequent commuter or those looking to be close to amenities like a major international airport.
With the average rent hovering around $380 per week, investors can expect a gross median yield of roughly 6.5 per cent. Average annual growth comes in at around 1.6 per cent, though thanks to the recent wave of domestic migration property values grew roughly 10 per cent in the previous 12 months.
Nestled against the beautiful waters of Falcon Bay, it’s easy to see why this has become a popular destination for all kinds of Aussies with one thing in common: a desire to be within walking distance of the waves.
In fact, buyer’s agent Simon Loo flags Falcon as “home to ‘Gearies’ – the best surf spot on the south coast.”
Formerly known as Miami up until the name was changed in the late 1960s, visitors can find a number of beloved Falcon spots that still bear the moniker, such as the Miami Bakehouse, which is known for its pastries and pies.
With its beautiful beaches, pristine waterways, and abundant recreational activities, Falcon is sought after by water sports enthusiasts young and old, from retirees to young families. The area is particularly attractive to boaters, with water frontage available on both the east and west sides of this slender neighbourhood that, along with Halls Head and Wannanup, makes up the small Avocet Island that is delineated by estuaries in the north and south.
But if you’re looking at properties set back from the waterfront, the suburb is still likely to remind you of its nautical leanings. Many of its streets are named after famous yachts, such as Panamuna Drive, Verona Crescent, and Galatea Road.
Beyond its beachside prestige, there are plenty of other amenities to recommend in the area. The suburb is home to numerous green spaces and several sought-after eateries with a high level of street appeal. Water views are an achievable dream in Falcon, but private development doesn’t take up all of the beachside real estate. Within the plentiful parks, the locale is home to numerous walkways, many of which host breathtaking views across the water.
This variety caters to a wide range of budgets and preferences, making Falcon an attractive choice. For wine enthusiasts, the area is also only 162 kilometres from the Margaret River region, an area popular with locals and tourists alike.
To find out which other regions made the Smart Property Investment FAST 50 2024 report, click here.