The pandemic has fast-tracked a trend to move to the regions, as net migration to the regions has more than doubled compared to two years prior according to the Regional Movers Index published by the Commonwealth Bank and Regional Australia Institute.
Brendon Cornwall, who is responsible for residential and rural sales at Hinchliffe and Greed Real Estate, said Kyabram and surrounding towns such as Tongala had boomed in the past three years.
“It’s been the perfect storm for property selling in the area. The pandemic has changed how people want to live and work,” he said.
“With many being able to work from home, they are moving out to the regions looking for two- to three-acre properties,”
Mr Cornwall said being able to travel back to Melbourne within a couple hours meant people could have the best of both worlds.
“You can’t discount the climate conditions,” he said.
“The last three years have been excellent for rain in the area and when it rains, people here can make money from farming.
“If we had a drought at the same time as COVID it may be a different story. Instead we where hit by two of the best seasons we’ve had in the last 30 years.”
Mr Cornwall said demand was so high, properties were sold within weeks of being on the market.
“The market was that hot, if you didn’t sell a property within a couple of weeks you would start to sweat a little,” he said.
“Compare that to seven years ago, it was pretty normal for properties to sit for two or three months even if they were priced reasonably.”
Mr Cornwall said there was barely any negotiation with prices, and auctions had become rare.
AuctionsPlus, an online auction company, has also sped up the buying process, with potential buyers not having to travel large distances to see properties.
Andrea Morgan, an experienced residential sales agent at H&G Real Estate, said the current rate of growth in the Kyabram market was unprecedented.
“Places are going for 30% more than what they where three or four years ago,” she said.
Ms Morgan said properties that were “unique” or bigger blocks in town were in demand.
“I’ve had plenty of people from Melbourne calling up about the area,” she said.
“I actually sold properties to those who used to grow up in the area or lived here 30 years ago.”
Ms Morgan also said there was a shortage of land to build on in the area.
“There are no residential blocks at the moment,” she said.
“That has probably impacted on the house crisis as well.
“This is because people have got blocks they are still not ready to build on. This could be not be till the end of the year.
“This could help the crisis as some of those would be rented out.”
Ms Morgan said prices for residential blocks had gone up by $40,000 before they put them on hold.