Bungendore Property Market Update 2nd Half of 2021

In Q2 2021, Bungendore recorded a median house price of $815,000, and a median vacant land price of $389,000. This represents annual (Q2 2020 –Q2 2021) median price growth of 16.0% for houses and 21.6% for land. Between Q2 2020 and Q2 2021 total sales in both markets slowed, by -3.2% for houses (to 30 sales) and only one recorded sale for vacant land. Price growth in both property types coupled with declining stock indicate a potential undersupply in Bungendore. There is an absence in ready-to-sell stock in the development pipeline, thus now is an ideal time for stand-alone dwelling owners to sell.

Average vendor discounts between Q2 2020 and Q2 2021 have swung to premium of 0.5%, from 4.8%. Bungendore have now shifted to favour vendors, where buyers must negotiate above the initial listing price. Now is an ideal time for vendors to achieve premium results.

In June 2021, house rental yields in Bungendore (postcode 2621) were recorded at 4.0%. In the 12 months to Q2 2021, the median house rental price increased by 11.8% to $615 per week. Although there was an increase in the average days on the market (by 12.1% to 26 days), it is offset by higher rents. Overall, there is a resilient rental market throughout COVID-19.

4+ bedroom houses have provided investors with +12.9% rental growth annually, with a median rent of $700 per week.

Also, in June 2021, Bungendore (postcode 2621) recorded a vacancy rate of 2.6%, above that of Queanbeyan-Palerang LGA (0.4%) and Canberra Metro (0.9%), but below Sydney Metro (2.8%). Furthermore, vacancy rates in the area remain below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, even amidst changing COVID-19 conditions. This confirms there is still a healthy rental demand and investors can be confident in the Bungendore rental market.