Suburb Spotlight Sunbury, Melbourne
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SUNBURY POPULATION
Sunbury Overview Sunbury is a 22 square kilometre residential suburb located approximately 30km north-west of Melbourne and is part of the Hume City Council. Since 2008, approximately 265 Custodians have invested in Sunbury, which is continuing to grow today. The suburb has been a popular choice for Custodian clients over the years, experiencing the highest number of Custodians investors acquiring property here. In addition to the strong market fundamentals underpinning the Melbourne Market, Sunbury continues to tick all the boxes: •
Fantastic amenity
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The abundance of local infrastructure
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Located only 17km from the Melbourne International and Domestic Airports
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Accesibility to train lines, including the newly completed metropolitiain service, and the Tullamarine freeway and The Western Ring road
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Excellent capital benchmarks in close proximity to the estate
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Top quality public schools and private schools
In addition, Sunbury is located less than 1km from Salesian College and is in close proximity to major retail precincts, including Sunbury Town Centre. The Town Centre is home to several department stores; Coles, Woolworths, FoodWorks, IGA, Big W, Harris Scarfe, Target, Aldi, Bunnings Warehouse and Masters Home Improvement. A strong community feel is ever present with vast park lands (5 parks in close proximity) and a total of 11 schools in the immediate local area consisting of 8 primary schools and 3 secondary schools.
It is understood that each Custodian who purchased in Sunbury has experienced an average increase of $85,000 in Capital Growth. Recent sales, comparable to Custodian properties, have transacted as high as $530,000 with an average of $430,000. Every Custodian who purchased in Sunbury during 2008 did so between $336,000 and $351,000 with an average of $345,000.
In 2011, the total population of Sunbury was estimated to be 35,018 people. It is expected to increase by over 16,500 people to 51,579 by 2021, at an average annual growth rate of 3.95%. This is based on an increase of over 6,100 households during the period, with the average number of persons per household falling from 2.81 to 2.77 by 2021
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THE BIGGER PICTURE The current (2015) population of The Hume City Council is 193,670 residents. The population forecast is set to reach 345,446 residents by 2044 – that is a staggering 78.37% increase!
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THE BIGGER, BIGGER PICTURE Melbourne’s population is set to increase to almost 8 million my 2051, in comparison that is the size of some of the world’s largest cities; New York, London and Hong Kong.
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Buy Land for Capital Growth True to the ‘7 Steps to Wealth’ model, the land component of your property investment is what appreciates in value whilst the building offers a source of income and tax benefits. Custodians who purchased in Sunbury have seen average capital increases of $85,000 with the majority of their returns coming from the land component of their investments. House and land packages in Sunbury could be purchased in 2008 for as little as $336,000 with land selling on average for $150,000 for a 650m2 allotment. Custodian investors who purchased in Sunbury during 2008 would have paid approximately $230 per square metre. Recent land sales in the estate are now around the $312 per square metre mark – illustrating prices have increased by 35%. Recent Comparable Land Sales Year
Land Size
Avg. Land Price
$/m2
2008
650 m2
$150,000
$230
2011
653 m
2
$165,000
$253
2015
655 m
2
$205,000
$312
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Recent Comparable Land Sales in Sunbury Currently, house and land packages are selling for approximately $420,000 upwards for a four bedroom, two bathroom and a double lock up garage on a circa 596m2 allotment. Melbourne is Australia’s hottest market today. Melbourne has experienced a 4.8% increase to the median house price over the November 2014 to February 2015 quarter. With the median house price jumping 4.8% in the last 3 months and the auction clearance rate at the start of March coming in at a massive 75.8%, Melbourne’s growing market is set to continue. This is a great sign considering historically we’ve only experienced a clearance rate of 60%, representing ‘market balance’. The quantity of properties available are also at low levels. In 2012 Melbourne had 55,000 listings on the market, where today we’re seeing approximately 30,000 properties available indicating property to be in short supply across the state. Sunbury continues to show signs of growth which is why Custodian is still actively developing within the suburb. Property is a long-term investment and clients need to be thinking about how they can best use their equity gains to further build their portfolios. Diversification with several properties across various geographical locations and submarkets is a good strategy for shielding your portfolio from cyclical downturns and creating consistent long term returns.
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Established Capital Benchmarks Some examples of established capital benchmarks adjacent to Custodian Clients in Sunbury are tabled below:
11 Highgrove Drive, Sunbury Area: 5,748m2 Price: $970,000 Sale Date: 23 June 2014
6 Harvard Court, Sunbury Area: 760m2 Price: $895,000 Sale Date: 4 April 2015
40 Enterprize Drive, Sunbury Area: 1.05Ha Price: $783,333 Sale Date: 16 March 2015
680 Riddell Road, Sunbury Area: 11.87Ha Price: $775,000 Sale Date: 15 Jan 2015
All information is current and accurate as at May 2015.
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Comparable Sales History The properties below are comparable re-sales which have recently sold within Sunbury. They give a good indication of what your property may be worth today:
57 Watersprite Boulevard, Sunbury Area: 612m2 Price: $530,000 Sale Date: 5 March 2015
22 Liquidamber Way, Sunbury Area: 664m2 Price: $505,000 Sale Date: 21 July 2014
34 Paperbark Avenue, Sunbury Area: 748m2 Price: $495,000 Sale Date: 17 September 2014
14 Mountain Ash Drive, Sunbury Area: 648m2 Price: $460,000 Sale Date: 17 December 2014
All information is current and accurate as at May 2015.
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Request Your Complimentary Personal Property Portfolio Review To find out about what this means for your investment and to hear about the latest exciting new Custodian investment opportunities, please contact our team of property experts for your own personal ‘Property Portfolio Review’ on:
Phone: 1800 174 999 Email: service@custodian.com.au
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PO Box 2256 Nerang, MDC, Queensland 4211 1800 174 999 service@custodian.com.au www.custodian.com.au