Hi,
first time posting here- came across the site in my attempt to find the answer to this question.I have bought on the central coast. I bought for personal reasons and not to make money (then), but obviously my interest in property grew. I have watched the market and its interesting. seems it always shows poor growth, yet the rental market is tight and prices comparably high.
I basically am interested as to why the central coast market DOESN’T grow at any good rate- as to me, it seems logical that it should grow as Sydney tightens. It is an hour to Sydney and has the coastal lifestyle many people want. It has some bad areas, but even much of that is 20 year old urban myth. surely urban myth couldn’t keep serious investors away? so what keeps the market slow?
I have also lived near Wollongong and some of the far worse suburbs of that area (thin Bellambi) are 100k more. Is it purely land availability?
Please, tell me- I am here to be educated.
Hi Sagos Girl
The short answer is Supply and Demand drives price. Its also dependent on vacancy rates . And its owner occupiers that generally drive the market rather than investors.
hope this short answer helps
Lived at Umina for a year or so back in1999/2000. It was supposed to be all go then but it never really got any momentum going. The big killer was the F3 and trains. After a year we were over it. It was cheaper for us to move to Artarmon and pay twice the rent ($220 to $410) than it was to live on the CC. The big bonus was 4hrs less travel every day. Priceless!!
The Freckle
Hi Sagosgirl.
A few factors for the coast:
No jobs, no infrastructure projects/government spending, very low population growth.
Gosfords LGA grew by .8% per annum from 2006-2011.
It grew by .5% in 2010/11. The 98th fastest growth rate in the State – ABS 3218.0 Regional Population Growth
Building Approvals / Mean Values / Proportion of Population receiving a Centrlink age pension
2006 – 1300 $238,500 13%
2007 – 1197 $259,100 13%
2008 – 1049 $259,200 13%
2009 – 710 $264,100 14%
2010 – 1056 $238,100 14%1379.0.55.001 National Regional Profile, Central Coast, 2006-2010
We are included in the Sydney Statistical Division. Some comparison's.
Unemployment
CC SYD
2006 6.6 4.6
2007 6.1 4.6
2008 5.7 4.2
2009 6.8 5.6
2010 6.7 5.6Median Wages
CC SYD +/-
2006 $38,190 $46,425 -17.8%
2007 $39,222 $48,428 -19.0%
2008 $40,523 $50,136 -19.2%
2009 $42,849 $52,325 -18.1%
2010 – – –Not much happening here.
To summarise bluntly.
- We are building less houses than 2006.
- Our population is growing negligibly.
- In 2009 our unemployment was 20% higher than the Sydney Statistical Division. 21% Higher in 2010.
- The mean house value in 2010 was less than in 2006.
- Our median wage is approximately 20% less than Sydney.
Although it is a nice place to live; it appears that the majority would rather the other end of the statistics instead of the Coast's lifestyle.
Hope this helps.
i think the nsw govt is trying to get more jobs and decentralsation to the coast and other geional nsw areas but i think they need to do more
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