Melbourne suburbs where house prices rose the most and least since 2010

Post to Facebook on 29/12/2019 9:45 AM
Commenting on “Melbourne suburbs where house prices rose the most and least since 2010”

I explained before the many reasons behind the increase and decrease in median price in a suburb during a given period.

Decrease

1. During a period of hype, buyers pushed up the prices of properties not worth the actual valuation;
2. Suburbs not well looked after by owners, dangerous cladding, or residents;
3. Bad publicity ranging from dumps, Council corruption, sea level rising;
4. Closure of certain facilities like schools which formerly attracted buyers to the area;
5. Over supply and saturation of market by new constructions with support of new investors or population

Increase

1. Land released, which subsequently with buildings constructed. Improvement on the land is never reflected;
2. New areas with homers spent money on landscaping and internal improvement. Similar to 1;
3. Older areas with houses due for demolition, and subdivision of the land into two or more pieces. The final cost of each property will be more than the initial dwelling;
4. Construction of new and expanded infrastructure and shopping centres;
5. Population growth combined with good facilities and infrastructure;
6. Smart marketing by developers to attract new comers to invest ”blindly”

Can you add additional reasons for the increase and decrease? Your contribution is welcomed.

After all that being said, which is a better option to invest in?

Thank you for reading.