Property market revival in natural disaster areas
In the wake of a natural disaster, it is expected that the property sector in affected regions will ...
In the wake of a natural disaster, it is expected that the property sector in affected regions will suffer from a significant drop in house prices.
A number of communities in flood ravaged zones across Queensland, high fire risk areas in Victoria, and drought stricken parts of Western Australia will be familiar with this trend.
However, recent data from the Australian Property Investor has revealed that the residential property market in some areas of the country affected by a natural disaster is starting to bounce back.
According to the recent report, some of the 36 fire, flood and drought locations at risk across the country are finally showing signs of price recovery.
It showed that in areas affected by a natural disaster, as the landscape regenerated and communities rebuild, confidence in the housing market returned with an increase in land investment in the region.
Fire affected towns in Victorian emerging from a housing price low include Gembrook, Kinglake and Blackwood. Similarly in cyclone ravaged Queensland, the towns of Cardwell, Innisfail and Tully have fully recovered within a year.
Drought recovery areas including Shepparton in Victoria, Griffith in New South Wales and Berri in South Australia had also shown signs of a housing market revival.