Giving property investors a a poor capital gain of -39.04% for the last year, Roxby Downs, 5725 is the 4130th highest performer in Australia in this respect.
The five-year average increase in median property values for Roxby Downs,5725 has given property investors a potential capital gain of -42.36% across each of those five years.
Vendor discounting in Roxby Downs is giving property investors an average Vendor Discount of around -14.48%. This puts suburb at number 7th in SA when ranking the most discounted suburbs.
Often selling an investment property can take time, and in Roxby Downs the average time real estate has been on the market is 119.38 days.
There’s one reason and one reason only why Roxby Downs is one of South Australia's best long-term performers for capital growth – and it’s called Olympic Dam.Full summary
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There’s one reason and one reason only why Roxby Downs is one of South Australia's best long-term performers for capital growth – and it’s called Olympic Dam.
Roxby Downs was purpose-built during 1987 and 1988 to service BHP Billiton’s Olympic Dam mine, which produces copper, uranium, silver and gold. The town’s population is around 4,500, with an average age of 29 years, plus a further 1,000 fly-in, fly-out shift workers.
The unique nature of the town is its blessing – and its curse. Its location effectively means there’s a captive audience for property, and a very healthy rental market with 5%-plus yields (according to RP Data) and a practically non-existent vacancy rate.
However, it also means that its fate is tied squarely to the fate of the mine. As an example, when demand for commodities from the mine fell during the GFC, median property values plummeted by over $20,000 – and have only recently stabilised following resolution of the controversial mining tax issues. Vacancy rates during that time also rocketed to well over 10%.
Expansion is what’s on the cards, too. BHP Billiton is proposing to turn Olympic Dam – already the world’s largest copper and uranium mine – into the world’s largest open-cut mine. Assuming this takes place, the future outlook of the town is very rosy indeed.
Investors, therefore, would be well advised to keep a weather eye on progress with the Olympic Dam expansion – as Roxby Downs could well revive its goldmine reputation if and when further development gets the green light.