Griffith has had a very poor year for property investment returns compared to the rest of NSW, giving investors a capital gain of 0.17% to date .
Over the longer term, Griffith has seen property prices show investors a 12.04% return over the last 3 years. This is worse than over the last 12 months
LACK OF BUYER INTEREST may well be the reason that Griffith is offering property investors an average of -5.49. This rate of discount on properties puts Suburb at number 812th in terms of most discounted suburbs in NSW
At number 1477 in a list of fastest selling suburbs, Griffith is in the TOP 40% of suburbs in Australia with an average of days on market 71.77 for properties listed there.
Griffith is in the bottom 30% in NSW when comparing median price capital growth over the last year. Griffith gave property investors a disappointing capital gain figure when compared to the rest of the state, with 0.00%.
Comparing Griffith,2680 ‘s 5year and quarterly average capital gain offered to property investors, it performed better across the longer period
Using the current median advertised rental of $270 and the average annual increase in value of a median property of -0.64%, investors should hope to achieve an overall return of 7.02%
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.