The median house price increased slightly from $475,000 to $482,500, and the median unit price increased very slightly from $318,000 to $319,500, during the March quarter, according to Doug Fraser (pictured), managing director of L J Hooker.
He says the residential property market remained reasonably static during the quarter with a small decrease in the number of house sales from 84 to 78 and a decrease in the number of unit sales from 34 to 26.
“The most popular suburb was Gillen with 19 sales followed by Braitling / Stuart with 16 sales and the East Side with 15 sales,” says Mr Fraser.
“The highest price paid for a house was $1.1m for a property on The Fairway in Desert Springs and the highest price paid for a unit was $525,000 for a property in Caterpillar Court in Desert Springs.
“The top end of the housing market was also relatively active with 17 house sales over $600,000.
“The lower end of the market was also relatively active which was evident by the high number of bidders that attended the most recent Norther Territory Government Department of Housing auction in February.
“These lower priced properties, which invariably require major refurbishment, are proving very popular for first home buyers, renovators, and investors.”
Mr Fraser says there was almost no activity in the commercial and industrial markets during the quarter with the exception of a sale of a light industrial property in Ghan Road for $1.65m. No other sales were recorded during the quarter.
“This segment of the market continues to languish as there are still very few investors in the market.
“There are a number of quality commercial properties available for sale in Alice Springs which in our view represent excellent value for astute investors. Properties which have a low vacancy rate, have been well maintained and have a high quality tenancy mix offer the best opportunities in this segment of the market.”
Mr Fraser says residential vacancy rates are continuing to fall slowly and are now at reasonably desirable levels.
“The market is relatively buoyant with quality properties still available to rent for new arrivals in town, and at affordable levels.
“This augurs well for the general well-being of the local economy with tenants not being forced to spend a disproportionate amount of their salary on rents.”
“The issuing of titles at Kilgariff 1B have been delayed due to internal issues with local government departments and authorities.
“It is disappointing to see these internal issues detrimentally affecting the local real estate market and ultimately those who want to build a home in order to secure their future.
“It is probably time for our local elected members to intervene and ensure the smooth issuing of titles in these very important new subdivisions.”