Agitation due to the impact of COVID-19 in the property market has waned following the return of open homes and auctions amidst social distancing protocols. As 2020 drew to a close, residential property values in Sydney’s eastern suburbs, including Coogee and South Coogee, have shown signs of recovery and the uptick is expected to continue in 2021.
Chief economist Nerida Conisbee of realestate.com.au said that the lockdowns and travel bans have given people unexpected windfall as they aren’t spending money on overseas travels. Instead, Australians are able to save up for an investment in the property market, especially lifestyle properties close to the beach.
House values in Sydney increased to 4.1 percent in 2020, whilst apartment units had a minimal but still significant increase at 0.4 percent. Apartment value in the eastern suburbs was higher than the region’s average at 2.6 percent, whilst houses were nearly on par at 3.7 percent.
In Coogee and South Coogee, house prices are up 15 percent with a median price of $2.9 million and $2,737,500, respectively. Maroubra’s house prices increased to 17 percent with a median price of $2,115,000, whilst Clovelly’s house prices rose to an impressive 34 percent ($3.682 million).
Deborah Cullen of Cullen Royle said that many Australian expats from New York, Singapore and Hong Kong are also setting their sites in Sydney’s east because of its attractive and exciting beachfront, a great backdrop for Zoom or video conference viewing in this period of remote working.
Beachfront houses are also a great investment because of its high rental outcomes. Hence, property owners in Coogee and the nearby suburbs are surprised by the strong demand.
The trend predicts that buyers will continue to be on the lookout for lifestyle properties, which are usually hard to acquire.
