Darwin cracked the 20% annual growth barrier in May 2021 with values now 20.3% higher over the past 12 months. For Darwin dwellings this is the strongest annual gain on record.
The current median dwelling value in Darwin is at $450,000 with the median sale price at $389,513 for units. Listings are few, with only 4 houses sold between September 2020 and March 2021 compared to 127 units for the same period.
Gross rental yields for units have climbed exponentially in recent years also, up 7% as of March 2021. There is no rental yield data for houses.
The Darwin housing market is relatively small which in turn is reflected in housing prices. According to Eliza Owen of Onthehouse.com.au, values of both houses and units in Darwin have been steadily growing after a dramatic drop back in December 2015. This is likely due to the fall in commodity prices, and the removal of the first home-owner grant for existing dwellings resulting in more new dwellings being constructed and first home buyers being better financed to buy those properties.
It’s been a few years since the Port of Darwin’s lease to Chinese company, Landbridge. It was believed this would “raise Darwin’s profile among Chinese investors” along with the growing reputation of Charles Darwin University and quick international flights to Asian hubs.
However, according to a recently published article by the Financial Review, the NT has reclaimed land earmarked by Landbridge for a luxury waterfront hotel after the company failed to meet its lease’s commercial obligations.
The reclamation comes as the Defence Department prepares advice to the government on whether the $500m, 99-year Darwin Port lease should be terminated on national security grounds.
There still may be room to capitalise on the exposure. If you choose to sell your property privately through PropertyNow, we’ll give you access to Juwai and REA group’s website for Chinese investors.
