Keilor East: A Suburb on the Verge of a Property Boom
The recent sale of 12 Collins Close in Keilor East for $826,000 has sparked discussions about the suburb’s potential for significant home price growth in the near future. According to John McGrath, the head of one of Australia’s largest real estate firms, Keilor East is poised to benefit from a population-driven recovery in Victoria’s housing market, expected to unfold in 2025.
Population Growth and Housing Demand
McGrath’s insights come from his annual property market report, where he highlights the rapid population growth in Victoria. This surge is occurring alongside a slowdown in housing construction due to a shortage of skilled tradespeople. As demand for housing continues to rise, the limited supply is likely to push prices upward, particularly in suburbs like Keilor East, which is well-positioned to attract buyers seeking more affordable options compared to its pricier neighbors.
Infrastructure Developments
One of the key factors contributing to Keilor East’s potential growth is the prospect of a new train station as part of the Melbourne Airport Link project. This development, combined with the suburb’s excellent access to major freeways and lifestyle amenities, makes it an attractive option for families and commuters alike. The proximity to Highpoint Shopping Centre further enhances its appeal, providing residents with convenient shopping and entertainment options.
Comparative Market Analysis
While recent PropTrack data indicates that median home prices have fallen in numerous Melbourne suburbs over the past year, Keilor East stands out with a median house price of $1.045 million. This pricing makes it an appealing choice for buyers who have been priced out of more expensive areas. As the market begins to recover, Keilor East is expected to see an influx of buyers, driving demand and potentially increasing property values.
Other Suburbs on the Rise
Keilor East is not alone in this anticipated growth. Other Melbourne suburbs, including St Kilda East, Glen Waverley, Altona North, and Spring Gully in Bendigo, are also expected to experience a surge in home prices. St Kilda East, for example, offers a blend of suburban tranquility and proximity to beachside amenities, making it a desirable location for families. With a median house price of $1.7 million and a more affordable unit market at $575,000, it presents a compelling option for buyers.
The St Kilda East Conundrum
Interestingly, agents in St Kilda East have noted that the suburb’s name may be holding it back. Despite its desirable features, the association with St Kilda’s more notorious reputation has deterred some potential buyers. However, as McGrath’s principal Michael Townsend points out, if the suburb were rebranded as Caulfield West, it would likely attract a different demographic, given its affordability and excellent transport links.
Glen Waverley: A Family Favorite
Glen Waverley is another suburb highlighted by McGrath for its potential growth. With a median house price of $1.689 million, it boasts top schools, proximity to Monash and Deakin universities, and a vibrant dining and shopping scene. The anticipated inclusion in the Suburban Rail Loop could further enhance its desirability, making it a prime candidate for future price increases.
Altona North and Spring Gully: Affordable Alternatives
Altona North, with its lifestyle offerings and proximity to Port Phillip Bay, is attracting families with its median house price of $930,000. The suburb’s accessibility to local attractions like Scienceworks and various sports centers adds to its appeal. Similarly, Spring Gully, with a median house price of $650,000, is positioned for growth, especially given its location on the Melbourne side of Bendigo.
Conclusion: A Bright Future Ahead
As we look ahead to 2025, the Victorian housing market, particularly in suburbs like Keilor East, is set for a rebound driven by population growth, infrastructure improvements, and a recovering economy. For potential buyers, this may be the opportune moment to invest in these emerging suburbs before prices begin to rise significantly. With the right combination of factors at play, the future of Keilor East and its neighboring suburbs appears promising, making them worthy of attention in the evolving property landscape.
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