Property prices slip 1% for the quarter, still up on last year

Despite a slight fall in the September quarter, Orange property prices have achieved steady growth in the past year.

The median price for Orange was $366,500 in September, up 5.3 per cent on the same time in 2016.

Domain chief economist Dr Andrew Wilson said easing prices in Sydney due to tougher regulations on investment loans also had an effect in regional areas, although on a lesser scale.

“The period of sustained price growth could be coming to an end for Orange, with the region’s prices taking a slight fall this quarter,” he said.

But from a wider perspective, Dr Wilson believed Orange prices had stabilised from the more “up and down” conditions experienced from 2013-15 as Electrolux closed, Cadia Valley Operations wound back and the face of the economy changed. 

“It was negative during a period when most other markets were taken advantage of low interest rates,” he said. 

“It came back over the past year and I think underlying growth remains positive.”

Dr Wilson said Orange also had affordability in its favour, but had the future capacity to pass the $400,000 median price. 

By comparison, prices in Bathurst rose 2.8 per cent during the September quarter to a median of $429,000.

It amounted to a 9.9 per cent price growth since September last year and Dr Wilson believed price growth was likely to continue on an upward trajectory due to its stable and diverse economic base.

Dubbo also had a higher-growth quarter, with 2.9 per cent, reaching a median of $350,000.

But this contrasted to a slow year for the market, with prices falling 4.1 per cent in the past year.

“Dubbo returned to growth in the September quarter. It remains to be seen whether the region will rebound from lower levels of buyer activity and finish the year on a strong note,” Dr Wilson said.

He said Dubbo’s distance from Sydney remained a factor in its lower pricing.