Bungendore Market Update 2nd Half 2024
In Q2 2024, Bungendore* recorded a median house price of $967,500, and a median vacantland price of $487,500.This represents annual (Q2 2023– Q2 2024)median price contractions of -0.1% for houses and -17.3% for vacantland. Comparing Q2 2023vs Q2 2024sales decreased, by -36.6%(to 26 for houses in Q2 2024)and by-36.4%(to 7for land in Q2 2024). This is mostly due to higher interest rates and cautious consumers. House prices in Q2 2024are slightly more affordable than 12 months prior, and there is less competition in the market, thus now is an ideal time for buyers toact; especially with no new houses in the horizon.
CHANGE FROM LAST
Bungendore is set tosee approximately$2.4Mworthofnew projectscommencing2024and2025
YEAR HALF YEAR
HOUSE SALES
HOUSE MEDIAN PRICE
HOUSE RENTAL PRICE
LAND SALES
LAND MEDIAN PRICE
MEDIAN PRICE Q2 2024
AVERAGE DAYS ON MARKET Q2 2024
29 $967K $487K
MEDIAN PRICE Q2 2024
25
AVERAGE DAYS ON MARKET Q2 2024
29 25
Commercialprojectswill stimulate economicgrowthandcreate newjobsin Bungendore.This canhave aspill-over impacton the real estatemarket,in the form of higher demandfor housingstock.
A key commercial development over 2024and 2025 is theMalbon Street Commercial Premises Alterations and Additions ($800K).
Another notable commercial development is the Royal Hotel Bungendore Alterations and Additions ($648.5K).
Between 2024– 2025there is an absence in residential projects in the suburb of Bungendore. There is a reliance on older / established stock becoming available for sale, as there are no new ready-to-sell houses, units, or apartments built.
Although this may suit the current situation, with less sales recorded in the past 12 months, this is not a sustainable plan for the future. As more commercial and infrastructure projects are built so will the number of people living in Bungendore.Thus now is an ideal time for developers to enter the market.
AVERAGE VENDOR DISCOUNT*
Average vendor discount reflects the average percentage difference between the first list price and final sold price. A lower percentage difference (closer to 0.0%) suggests that buyers are willing to purchase close to the first asking price of a property.
Average vendor discounts between Q2 2023and Q2 2024 have widened to further discounts of -4.9% for houses and -7.0% for vacantland. Market conditions in Bungendore* continue to favourthe buyers, thus now is an ideal time to enter the market. That said, the average house vendor discount has slightly tightened in the past 6 months. This is good news for those wishing tosell.
The suburb of Bungendore has historically outperformed the wider Queanbeyan-Palerang Local Government Area (LGA) in bothhouse and land median prices. This said, 2024# has seen a return toparity for house and vacant land prices in Bungendore with the wider QueanbeyanPalerang LGA, creating new opportunities for buyers.
The dominant proportion of homes sold in Bungendore* across 2024# were in the premium price bracket of above $1,100,000(34.4%). This is good news for owners, especially as there is slower price growth. Most of the vacant lands sold were in the more affordable price point of between $400,000and $449,999(37.50%).This reveals that there is affordably priced stock available, in good news for buyers.
MARKET COMPARISON
Bungendore (2621) House
Bungendore (2621) Vacant Land
Queanbeyan-Palerang LGA House
Queanbeyan-Palerang LGA Vacant Land
The market comparison graph provides a comparative trend for the median price of houses and unit over the past 5 years. The suburb chosen was based on their proximity to the main LGA analysed, which is Bungendore*.
PRICE BREAKDOWN 2024 #
$400,000 to $449,999
$450,000 to $499,999
$500,000 to $549,999
$550,000 and above
RENTAL GROWTH 2024€
House rental yields in Bungendore¥ was 2.7% in June 2024.Median house rental price saw a -13.3% softening in the past 12 months to Q2 2024,at $650 per week, whilst the number of houses rented increased by 60.0% (to 24 houses). This creates an opportunity for renters. Thatsaid, Q2 2024recorded the highest number of houses rented in the past 24months, thus house renters must be quick in securing their rental property.
2bedroom houses have provided investors with 11.1%rental growth annually, achieving a median rent of $500per week.
Bungendore¥ recorded a vacancy rate of 4.5% in June 2024, which is above the Canberra Metro’s 2.1% average. Vacancy rates in Bungendore¥ have fluctuated in the past 12months, due toinvestors entering / exiting the market alongside interest rate changes. There has been a slight decline in vacancyrates in the past 3month to June 2024,which suggests a tighter rental market and quicker occupancy of rental properties. This is an opportunity for investors to enter the market, especially with a more affordable median house sales price.
RENTAL VACANCY RATES 2024
Bungendore¥
PROJECT DEVELOPMENT MAP
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REFERENCES
* Bungendore market data and key indicators encapsulates aggregate property market conditions within the suburb of Bungendore.
** Estimated values are based on construction value provided by the relevant data authority and does not reflect commercial and/or re-sale value.
# 2024 encapsulates sales transactions for 1st Half 2024 (01/01/2024 – 30/06/2024) only, other years encapsulates sales transactions for the full year (i.e 01/01 to 31/12 of the relevant year).
€ Annual rental growth is a comparison between Q2 2023 (01/04/2023 – 30/06/2023)and Q2 2024 (01/04/2024 – 30/06/2024) house median rent figures.
¥ Bungendore market data encapsulates aggregate property conditions within the postcode of 2621.
§ Rental yields shown are as reported as of June 2024.
₳ Project development map showcases a sample of upcoming projects only, due to accuracy of addresses provided by the data provider for geocoding purposes.
£ Projects refers to the top developments within the suburb of Bungendore.
µ Estimated value is the value of construction costs provided by relevant data authority, it does not reflect the project’s sale/commercial value.
ψ Commencement date quoted for each project is an approximate only, as provided by the relevant data authority, PRD does not hold any liability to the exact date.
Source: APM Pricefinder, Cordell Connect database, SQM Research, Esri ArcGIS.
Disclaimer: PRD does not give any warranty in relation to the accuracy of the information contained in this report. If you intend to rely upon the information contained herein, you must take note that the information, figures and projections have been provided by various sources and have not been verified by us. We have no belief one way or the other in relation to the accuracy of such information, figures and projections. PRD will not be liable for any loss or damage resulting from any statement, figure, calculation or any other information that you rely upon that is contained in the material.
Prepared by PRD Research. © All medians and volumes are calculated by PRD Research. Use with written permission only. All other responsibilities disclaimed. © Copyright PRD 2024.
