SUPPLY and demand are a well understood economic principle and it applies to such basic things like getting into a new home as much as it does anything.
Land and house prices are going up because of a lack of available properties on the market. Twelve months ago, Rocky Gagliardi from Gagliardi Scott Real Estate predicted this very situation being likely to happen if new developments were not to come onto the market soon.
Although much is in the planning, the slow process of approval by Council and the State Government of these new developments are a major contributing factor to the shortage and subsequent dramatic rise in prices. Land prices have risen by up to 60 to 70 percent over the past year as a consequence.
“Very soon, young home buyers will be priced out of the market if we cannot get sufficient new developments made available,” said Rocky.
“Property prices are not going to go down and the lack of land available will see to that, so anyone looking for a block to build would be well advised to get in as early as they can, where they can. At the moment there is no land available to build this year and anything new will not be available until next year which means building in 2023, if you are lucky enough to secure a block.”
For anyone contemplating buying property in the region, Gagliardi Scott Real Estate is at 182 High Street, Shepparton or call them on 5831 1800.
