THE population surge in Perth's eastern suburbs, such as Ellenbrook, has led to a boom in residential building approvals by the City of Swan.
Mark Sinclair, chief executive of Raine&Horne, said the latest ABS figures showed that for the first six months of 2008-09, building approvals totalled more than $100 million in the City of Swan,
representing more than 500 new homes.
This meant the City of Swan accounted for more than one in every 12 residential building approvals in the Perth metropolitan area for the first six months of the financial year.
Over recent years, the eastern suburbs have grown faster than almost anywhere else in Perth.
For example, the population of Ellenbrook in 2001 was 5684 and by 2006 it was 10,740—a massive growth of almost 90 per cent.
More property buyers have moved into areas such as Ellenbrook for lifestyle reasons, as well as improving infrastructure such as the extension of Reid Highway to West Swan Rd.
Property buyers are also attracted to its affordable housing.
The median price of a house in Ellenbrook during the December 2008 quarter was $380,000.
There is a large supply of near-new homes in Ellenbrook for less than $400,000 - an ideal lure for first home buyers.
In the past three months, Raine& Horne has recorded growing activity by first-home buyers in Ellenbrook, and the trend is set to accelerate as interest rates are projected to fall even further, making it financially more attractive to buy a home rather than rent.
The longer-term outlook for the eastern suburbs remains positive, according to Mr Sinclair.
The Swan Valley was benefiting from the construction of new facilities, such as shopping centres and schools, as well as the major regeneration of the Midland town centre, which was becoming a social and commercial hub for the area, he said.
.gif)
