Shepparton unit prices have taken a leap in value in the past 12 months, according to new research by a property data company.
The data from CoreLogic Asia Pacific shows unit prices in Shepparton jumped by about 24 per cent, leading the ‘top 10’ category for rural Victorian centres.
Mooroopna was not far behind, on 18 per cent.
In the unit market, Shepparton’s media value was recorded at $327,000 and Mooroopna’s at $282,000.
The two cities also experienced strong growth in rental values in the 12 months to September 2022, placing them in the top 10 for rural Victoria.
Mooroopna recorded a five per cent increase in rental yields, taking the median rental value to $305 a week.
Real estate agent Rocky Gagliardi, from Gagliardi and Scott, said strong demand and a shortage of properties were contributing to the rise in value.
The demand for quality townhouses was pushing some prices above $500,000.
“A lot of this is being driven by building costs and a lack of opportunity to find land to develop new stock,” Mr Gagliardi said.
He said retiring couples seeking to downsize were contributing to the demand for quality townhouses.
At a micro level, Mr Gagliardi has noticed a strong demand for units in north Shepparton, as medical staff connected with GV Health search for accommodation near their workplace.
Meanwhile, the rise in interest rates last year has not had a significant impact on demand for houses in Shepparton and Mooroopna.
While the soaring cost of building and delays in construction were being noticed by potential buyers, some were moving to buy established homes, which was putting a solid floor on house prices, Mr Gagliardi said.
“They are not keen on waiting too long and don’t want to keep paying rent, so they are looking at houses in the $600,000 to $700,000 range,” he said.
Mr Gagliardi noted that they were also handling a growing number of houses over the $1 million mark in the Shepparton district.
Ironically, the town of Rochester enjoyed the strongest 12-month growth in house prices, of 25 per cent, up to September 2022, prior to the catastrophic floods in October.
The Campaspe River town was placed at the top of the regional Victorian table in the CoreLogic statistics.