Shepparton Property Market Update 1st Half of 2024
Shepparton offers a vibrant community with excellent amenities, including top-notch schools and healthcare facilities. Its picturesque surroundings and abundant recreational activities make it an ideal place for a balanced lifestyle.
Property Trends
In Q1 2024, Shepparton recorded a median house price of $500,000 and a median unit price of $337,500. This represents annual (Q1 2023 – Q1 2024) median price growth of 8.7% for houses and 8.9% for units. In this time house sales surged, by 21.1% (to 184 sales), indicating robust demand that provided a buffer against the cash rate hikes. However, total unit sales dropped by -40.7% (to 16 sales), which suggests there is an undersupply. Thus, now is an ideal time for investors to capitalize on their investments. With only townhouses and land lots in the pipeline for the 1st half 2024, buyers must act fast, before further price increases
Average Vendor Discount
Average vendor discounts between Q1 2023 and Q1 2024 shown a split trend, with houses widening to -5.9% and units tightening to -1.8%.
Market Conditions
Despite this divergence, the markets in Shepparton still favour buyers, as sellers are willing to accept below the first listed price. The house market is now seeing a peak discount period, thus an ideal time for first home buyers to enter the market.
Rental Market & Growth
House rental yields in Shepparton was 3.9% as of April 2024, on par with Northern Victoria (4.0%), but higher than Melbourne Metro (3.1%). This was paired with a 10.6% increase in median house rental price in the past 12 months, now at $470 per week, and a 10.2% growth in the number of houses rented, reaching 205 rentals. This suggests a highly demanded and competitive market, offering a more attractive and affordable option to investors compared to Melbourne Metro.
4+ bedroom houses have provided investors with +11.1% rental growth annually, achieving a median rent of $550 per week.
Vacancy Rates & Property Investment
Shepparton recorded a vacancy rate of 1.8% in April 2024, slightly above Melbourne Metro’s 1.1% average. Vacancy rates increased in the past 12 months, due to investors re-entering the rental market and capitalizing on investments. A 1.8% vacancy rate is still well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, suggesting quicker occupancy. This confirms Shepparton as a conducive and sustainable environment for investors.
