The Werribee Corridor continues its 30year growth seeing our population exceed 172,000 in June this year, higher than recent forecasts.  Wyndham has experienced the largest and fastest growth in all Victorian Government areas and according to id. forecast our city will be home to some 266,000 people by 2021 and 334,000 by 2031.

Such growth presents many challenges and places enormous pressure on infrastructure particularly on our road network and public transport.  One example is the traffic volume on both Old Geelong Road and Forsyth Road.  According to Council 42,700 vehicles per day are using that section of Old Geelong Road this year, up from 34,800 in 2007.  Growth also means the demographics of our City are changing thus placing a different emphasis on many things including health and education.

Wyndhams growth is predicted to continue with fewer 'Greenfield' areas in neighbouring cities likely to be developed compared with many 'Greenfield' opportunities already identified at Point Cook, Tarneit, Truganina, Wyndham Vale and Riverdene.

Known for affordable home owning opportunities, Wyndham has generally attracted home owners and investor from the Western and South-western suburbs of Melbourne.  Today, the City sees new arrivals from a wider part of Melbourne and from overseas.  Add to this influx, families from within the City increasing the demand for housing as new young families and couples set up their own homes.  It's interesting to note that new dwelling approvals have declined this year which is probably due more to supply than demand, particularly in Point Cook.

Following on from the GFC, the stockmarket turmoil and all that is happening with the US dollar, China and Europe, it is timely to consider the benefits of a diversified investment portfolio and ensure it includes property.

We live in changing times.  The cost of living and of operating businesses, returns on investment, consumer expectations, ensuring our city is liveable and sustainable, catering to the needs of the aged and protecting our children, all contribute to the complex world in which we live and the challenges it presents.

Sources: www.firstnationalnews.com, www.wyndham.vic.gov.au, www.reiv.com.au, http://home.id.com.au

Many homeowners are holding off from putting their property on the market as the media continue to report on market downturn and uncertain financial times.  Setting aside those retiring and buying something smaller, the majority of sellers at any given time are trading up to a bigger property for their growing family or as a reflection of their increasing wealth.  These home owners, who will pay more for their next home than they will get for the one they are selling - actually do better when the market is in decline.  Owners fearing its not a good time to sell because they won't get a good enough price must realise that if the market is preventing trading up to.  For example if you are selling at $360,000 where your property's market worth was around $400,000 you may feel you are losing $40,000 or around 10% of the value of your asset; but when you buy another property valued at $500,000 in the same market, the owners of the home will lose 10% in line with the current declining market.  In paying 10% less you will pay $450,000, saving $50,000 - thereby making $10,000 on the transaction.  In other words you saved on the next transaction more than you lost on the sale of your current home.

Another advantage to trading up in a buyers market is that prices are stable and properties often take longer to sell.  Once vendors have sold their original property they can take their time choosing and negotiating their purchases.

When the media reports static or falling home prices, many home buyers think its a good idea to watch the market and wait for it to reach the bottom in order to 'snap' a bargain.

While bargains do exist, if buyers are in the right place at the right time, there are often more people who miss out rather than gain when using this strategy.  Most homebuyers buy their family home and live there on average for 7 to 10 years.  And when we're talking 'averages' the property market continues in the big picture to rise.  Based on historical property cycles, property may undergo periods static-to-galloping growth, but on average, well-located well-selected residential property doubles in value every ten years of so.  Certainly, if we could pick the lowest time to buy and the highest time to sell we would do very well indeed, but the only buyers who need worry about immediate state of the market are real estate speculators who wish to buy then sell straightaway, or those who are too highly geared or who have entered into unrealistic amounts of debt.  For everyone else, the chances of strong long-term capital gain are virtually assured, provided they buy well selected proeprty in well-selected locations.

It's famously difficult to pick the 'bottom'of the market.  Often buyers have less to choose from as listings are scarce - and a sudden flurry of competition for the remaining desirable properties often causes them to sell for higher prices.  Purchasers who wait too long for a 'bargain' or the 'lowest point of the market' often only realise that the lowest point has already been reached once they can look back on it with 20/20 vision of hindsight.

Despite the current slowing of rental growth, Australian commercial real estate markets are generally in balance, with vacancy rates at or below historical averages.  While supply remains limited, and there is no likely major change on the horizon, commercial real estate will continue to provide good long-term returns for investors and is anticipated to deliver on expectations of solid performance over the next five years.

On the local scene: interest in factories, warehouses & showrooms see our Commercial leasing vacancy rates at an all time low.  "Serviced office accomodation has proved a winner for landlords and tenants in the past 12months" says Commercial Leasing Manager Peter Nation, "with 100% occupancies being achieved very quickly".  Colleague Peter MacCalman adds "Look out for some new offices we have coming up soon and if you're thinking of leasing out a factory, we have tenants enquiring every day!".

Commercial leasing has been strong this year and we anticipate the local market will deliver a solid performance in the coming years as per the national comment above.