SOUTH Gippsland has been discovered according to Korumburra real estate agent Herb Treacy, and property prices are surging as a result.
Mr Treacy estimates the average home in Korumburra is increasing in value by $1000 every week.
“What you buy now for $250,000 will be worth $300,000 this time next year.”
He said local agents are struggling to keep up with demand from buyers, mostly from outside the region.
“The big problem is the shortage of properties and all agencies are in the same boat.
“Twelve months ago we were twiddling our thumbs and there were no ‘sold’ signs going up. Now it’s the other way around.”
He said there were a few factors that may have sparked the interest.
“The proximity to Melbourne’s expanding
areas and the talk of the airport at Koo Wee Rup have helped.
“We all know that it’s a beautiful area around here, and I think other people are starting to realise.”
He said some passionate investors including John Kennedy have generated some real enthusiasm for the town.
Mr Treacy said the buyers are coming from the south eastern suburbs and the Mornington Peninsula.
“They’re selling their properties for $1 million and buying here for $500,000, which leaves half a million in their back pocket.
“Small acreages are very popular. They can’t get enough of that. As for residential properties, four bedrooms are the most popular but if they can’t get that, they’re putting up with three. I think it’s the decent sized blocks that are so attractive.”
He said investors are also finding the prices right, buying properties and then renting them out.
“Even commercially, around the street all the shops are filling up.
“We’ll have a seafood restaurant in the Patton’s on Bridge building, and an optometrist is opening where the florist was before it relocated.
“These are two good businesses that will be great for the town.”
He said he hoped shop owners would ensure their buildings are well presented to further raise the profile of Korumburra.
“First impressions count as people come into town and if we all do our bit, everyone will benefit.”