Buying property in a suburb that’s within close proximity of a high performing suburb has been a strategy that home buyers and investors have attempted many times before.
But does this seemingly simple strategy actually work – and what suburb is currently ‘booming’?
Of course property investment isn’t that simple – but in order for this type of ‘strategy’ to work, property prices need to continue rising in the immediate and long-term future. Therefore pushing demand from expensive or highly sought after suburbs towards the suburbs that surround them.
Though being situated within close proximity to ‘performing suburbs’ can be of benefit, it doesn’t necessarily mean these neighbouring suburbs will achieve the same results. For example, some interstate buyers may not even be aware of these neighbouring suburbs.
To give this strategy its best possible chance, experienced home buyers or investors focus more on specific areas, taking into account future developments and or infrastructure growth.
What suburb is currently ‘booming’?
A suburb that is currently ‘booming’ is Palm Beach.
Situated on one of the Gold Coast most beautiful beach’s and featuring some of Australia’s most sought after water front properties, theres no wonder the suburb is highly sought after.
Subsequently Elanora (neighbouring suburb to Palm Beach) has seen the median house sale price increase by over 11% in 12 months (now $629k). With the average property FOR SALE in Elanora achieving over 822 buyer visits on realestate.com.au alone, showing a clear increase in demand.
Specialising in Elanora and Palm Beach for over 11 years Alexandra Hocking from Elanora Realty has experienced first hand the demand for properties in todays market.
Commenting, “Each property that we list in Elanora has a huge amount of interest, not only from local buyers but also interstate buyers.
With older, mature, and established Couples/families making up over 58% of Elanora’s ownership and the close proximity to the beach, there’s no wonder the suburb is attracting so much interest.
Due to increased demand and higher property prices in Palm Beach (Elanora’s neighbouring suburb), some buyers are now looking outward, which is proving to be a great opportunity for current property owners in this suburb to make money.”
