WAGGA WAGGA MARKET UPDATE 2nd Half 2019
- In Q3 2019, Wagga Wagga recorded a median house price of $372,500, and a median unit price of $261,250. This represents annual median price growth of 0.4% for houses and a price softening of -3.3% for units.
- At the same time total house sales increased by 13.4% (297 sales), while units slowed by -3.3% (29 sales).
- Confidence is returning in the Wagga Wagga house market, while units have become more affordable for first home buyers.
Wagga Wagga is set to see approx. $227.6M worth of new projects commencing in the 2nd half of 2019.
A key investment focus into commercial projects over the period will stimulate the local economy and create jobs. This may attract new residents into the area and/or result in an increased number of ready-to-buy residents. This will fuel demand for housing and have a positive spill-over effect for the property market in the future.
A main commercial project over the 2ndhalf 2019 period is the $150.0M Bomen Solar Farm. The project is set to create 120 megawatt solar farm spread across 250 hectares, which will connect to the National Electricity Market. Residential development over the period is focused on the $6.4M Harris Road Residential Subdivision, which will create an additional 214 lots for the Wagga Wagga* property market.
TOP 10 FUTURE DEVELOPMENTS (notably all Commercial)
- Bomen Solar Farm Commercial $150,000,000 commencing 19/08/2019
- Enirgi Battery Recycling Facility Commercial $30,000,000 commencing 21/10/2019
- University Of NSW – Wagga Wagga Rural Medical School Commercial $17,000,000 commencing 14/10/2019
- Forsyth Street Hotel Commercial $5,313,000 commencing 29/12/2019
- Thomas Bros Vehicle Sales Commercial $2,035,000 commencing 02/10/2019
- Southern Oil Refining Commercial $1,800,000 commencing 09/11/2019
- Settlers Village Retirement Community Commercial $1,700,000 commencing 15/12/2019
- Sutton Street East Self Storage Units Commercial $539,000 commencing 30/09/2019
- Peter Street Health Service Facility Commercial $314,000 commencing 29/09/2019
- Farmers Home Hotel Commercial $250,000 commencing 04/07/2019
RENTAL GROWTH 2019
Over the past 12 months, house rental yields in Wagga Wagga softened slightly to sit at 4.8% in June 2019; however, is still well above Sydney Metro’s 2.9%. This suggests the house rental market is in a relatively healthy position, as does the low average days to let a house rental in Wagga Wagga, of just 25 days in Q3 2019.
“Mr Simon Freemantle believes Wagga is in a healthy position for growth and investment with the future of commercial growth like the Bomen Solar Farm and The Riverina Intermodal Freight & Logistics Hub. Wagga has a promising and secure future.” Simon Freemantle, Director, PRDnationwide Wagga.
Research provided by PRDnationwide Wagga Wagga on behalf of Dr Diaswati (Asti) Mardiasmo
Chief Economist at PRDnationwide Corporate.