Data shows mixed view of Geraldton property market amid hopes it will ‘gradually’ rise this year

Geraldton was the only regional centre in WA to record a drop in property prices in the past three months, according to the latest Real Estate Institute of WA figures. In the December 2022 quarter, Geraldton’s median house price fell 1.3 per cent to $370,000, while over 12 months values were still up a modest 2.2 per cent. Other regional centres either recorded no change or a rise over the quarter, with Bunbury the top performer posting an increase of 2.3 per cent. The REIWA data also shows Geraldton’s median weekly rent in the December quarter was $380, down 1.9 per cent over three months but up 11.8 per cent over the year. Meanwhile, other property data reveals Geraldton house prices rose by 5 per cent and more properties exchanged hands in the last year as the local market springboards off a 10-year low. According to CoreLogic research, Greater Geraldton’s home value index increased 5 per cent to a median house price of $357,340. The volume of dwelling sales in the region was 7.7 per cent higher compared with the previous year, with a total of 1045 properties exchanging hands in the 12 months to January 2023. Geraldton had stronger growth in sales volume than many other regional cities and towns which recorded falls in this area. Home listings in Geraldton were on the market for an average of 45 days, with sellers discounting prices by an average of 4.8 per cent in order to get a deal done. But median dwelling values are still down from 10 years ago across most Geraldton suburbs, with the worst hit being Geraldton (-2.8 per cent), Beresford, (-2 per cent), Bluff Point (-1.9 per cent), Mahomets Flats (-1.8 per cent) and Wonthella (-1.7 per cent). Geraldton Property Team director David Potiuch said there was more growth to be experienced in the Geraldton market. “There’s great value for a regional city and we’re definitely seeing on the ground a lot of sellers and buyers. There’s going to be a strong turnover this year,” he said. “The rental market is the worst I’ve seen in 18 years. I can’t really see the trend slowing down, a lot of people are coming into town and people are buying investment properties.” Mr Potiuch said rising interest rates might affect investors and slow down that market, leaving a “gradual” median growth. “There are people wanting to exit the real estate market in Geraldton so there’s a lot of stock coming in,” he said. “Buyers are a little bit hesitant but also on the flipside there’s buyers which require to buy and are happy to enter the Geraldton market. “If you’re considering buying it’s a great time to buy and jump on the back of a little bit of property growth over the coming years.” CoreLogic research director Tim Lawless said dwelling values increased by 5.6 per cent across the Mid West region over the past 12 months, recording a slightly higher rate of growth than the broader regional WA benchmark of 4.9 per cent. “Although the region has recorded a significant lift in values through the latest cycle, dwelling values remain lower than the previous record high recorded in 2010 after dropping by nearly half between 2010 and 2019,” he said. The Shire of Northampton’s housing market saw a 14.3 per cent increase in house sales with 104 dwellings sold in 2022. The median house value sat at $327.378, increasing 16.8 per cent compared with the 12 months prior. But the Shire of Irwin saw a drop in the number of sales across the region, averaging a median house value of $388.171. Home values grew 4.4 per cent compared with the 12 months prior, while sales dropped 20.8 per cent with only 84 houses sold.