Cheap Land


Story Details

With interest rates now headed upwards and home owner grants coming to an end, you might think buying a block of land is becoming increasingly out of reach. Well the leading property group in Australia says there's still great buys out there for well under 100 thousand dollars.

Here's David Eccleston with the top 5 hotspots to beat the boom.

With interest rates doing a u turn, and housing prices to bounce back consumer property crusader Neil Jenman has a very definite answer.

“Real estate agents will always tell you it's the time, but right now if you're savy you can find some good deals at the moment yes.” Neil says.

You'll need $174 thousand to buy the average block of land - up almost 6% from last year but if that type of money is out of reach.

“There are regional areas around Australia where a residential block is still available for under $100 thousand.” Harley Dale says.

It's the most current research on property prices, Harley Dale from the Housing Industry of Australia has pin pointed the top 5 hot spots.

“The two most affordable states for housing for some time now have been South Australia and Tasmania.” he said.

“I'd say the benefit of cheap land in Devonport is just the tip of the iceberg.” Morris Hill, Deputy Mayor

Making the list is the area on the fringes of Devonport Tasmania where land can be bought for $72 thousand.

“Areas such as Burney and Devonport in the North West of Tasmania are affordable markets because they are relatively small populated markets there's a lifestyle appeal there for people moving from other parts of Australia.” Harley said.

Berry in Southern Tasmania also makes the top 5 - $82 thousand, no tricks, no catches.

“We tend to turn our nose up; oh I wouldn't want to live there, really? Have you even spent a night there? Have you even spent a weekend there, go and spend a weekend there watch how the air is different watch how the atmosphere is different watch how less stressed you are!” said Neil Jenman.

Ask Mark Henderson from Mildura Council in Victoria and of course he's going give Mallee a glowing reference...

“If you are looking for low cost housing there are certainly opportunities available.” he says.

It's the cheapest regional market according to the Housing Industry- $70 000 for an average block- and there's plenty up for grabs the top pick for value for money.

“It reflects the fact that Victoria as a whole is a really affordable state you've got extra money from the state government if you want to get in as a first home buyer and they simply have a far more affordable product than in many other parts of the country.” said Harley.

“$70 000 for a block of land is terrific but it could even be cheaper than $70 000 dollars that's just the asking price sometimes it's just the average price $50 000 is not unheard of in some of these areas for blocks of land and these are beautiful areas to live in.” Neil says.

The building grant for building a new home in Victoria is still $14 000, the same lucrative incentive on offer in South Australia.

Mt Gambia in South Australia at $76 000 and the Murray Lands at $80 000 make up the top 5 realistic and affordable options to build a home.

“South Australia is a bit like Tasmania the smaller states don't have the affordability hurdles as the bigger states have and that shows up in cheaper lands prices.” said Harley

If you believe the Housing Industry, time is running out for cheap land. Their data shows we've seen the bottom of the property market.

“It's certainly looking like though the first half of 2009 the price of residential -primarily a new block of land was starting to rise again.” Harley said.

Sydney is still the most expensive major capital to live but down from last year. The average plot is $255 000, Adelaide and Hobart also cheaper, defying the global downturn. The big improvers were Melbourne, average block $165 000 and Brisbane $224 000.

“Please don't give up, don't think that your turn is never going to come when I was 18 years of age I was told I was too late. If you don't try it how would you know!” Neil syas.