Griffith has had a very poor year for property investment returns compared to the rest of NSW, giving investors a capital gain of 1.14% to date .
Comparing Griffith,2680 ‘s 5year and quarterly average capital gain offered to property investors, it performed less well across the longer period
LACK OF BUYER INTEREST may well be the reason that Griffith is offering property investors an average of -5.35. This rate of discount on properties puts Suburb at number 584th in terms of most discounted suburbs in NSW
Often selling an investment property can take time, and in Griffith the average time real estate has been on the market is 66.87 days.
Using the current median advertised rental of $340 and the average annual increase in value of a median property of 1.60%, investors should hope to achieve an overall return of 5.70%
NSW has seen average median house prices change by 6.96% which means that Griffith, 2680 has done well for property investors by showing a capital gain of -3.08% over the last year
If we look at median property appreciation over just the last three months, Griffith has given property investors a paper return of 10.00%. This puts Suburb as 47 on a list of fastest fasting appreciating suburbs in NSW
Vendor discounting in Griffith is giving property investors an average Vendor Discount of around -0.78%. This puts suburb at number 458th in NSW when ranking the most discounted suburbs.
Griffith lies around 500km west of Sydney and 150km northwest of Wagga Wagga. With 7.5% unemployment and sluggish population growth, Griffith may not look like the best bet for an investment proposition: however, it does have scope for an economic resurgence, thanks to the breaking of the drought and potential resurgence of the Riverland regionFull summary
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Griffith lies around 500km west of Sydney and 150km northwest of Wagga Wagga. With 7.5% unemployment and sluggish population growth, Griffith may not look like the best bet for an investment proposition: however, it does have scope for an economic resurgence, thanks to the breaking of the drought and potential resurgence of the Riverland region.
“The drought is over,” proclaims John Lindeman, chief consultant at Property Power Partners. “Lakes, rivers and dams in the southern half of Australia are practically overflowing. That’s great news for the agricultural areas – particularly WA’s wheat belt, Victoria and NSW’s grain and dairy belts and the South Australia Riverland region. That should fuel growth in regional support towns, and I would expect to see investors gradually shifting their focus to include these areas as well as mining towns.”
Indeed, the hard years of the drought have seen Griffith – a key service centre for the irrigation region – suffer. However, this means houses are very affordable. This has also resulted in strong rental yields. Vacancy rates are also low: good news for investors seeking a high yield with scope for capital growth.
The town’s fundamentals are promising: it’s situated at the junction of Kidman Way, Burley Griffin Way and Irrigation Way, and has its own airport which operates daily flights to Sydney and Melbourne. It’s also self-sufficient in terms of amenities, with a range of grocery stores, shops, restaurants and cafes running along Banna Avenue and situated in shopping centres throughout the town. There are three schools in the town, along with a TAFE campus, and there are plans to construct a fifth campus of Charles Sturt University in Griffith.
And what is the scope for growth? Lindeman has predicted that Riverland towns could see value increases of up to 20-30% over the next few years: that hasn’t materialised yet in Griffith. However, property analyst Michael Matusik says an upward curve is beginning.