March 23rd 2010
Latest valuations rate Nelly Bay lowest in local area
The Department of Environment and Resource Management (DERM) today released the annual land valuations for properties in the Townsville local government area and while Townsville's overall average value has, according to DERM, increased by 40% since the 2006 valuation, Nelly Bay, Magnetic Island's only suburb for which valuations were listed, bottomed the market with a median increase over the period of just 1%.
The valuations are a snapshot of unimproved land values as at 1 October 2009 based on changes in the local property market.
The Townsville local government area’s overall average value had increased 40 per cent since the last valuation issued in 2006, DERM State Valuation Service North Area Manager Brett Bowen said.
“This compares with the previous 2004-06 overall increase of 35 per cent,” Mr Bowen said.
But at Nelly Bay, the only bay on Magnetic Island which had enough sales (466 in total which was above the base line figure of 300 used for viable statistical analysis) the new median price moved to $162,500 an increase from the previous period of just 1%.
Island real estate agent Mr Ian Ivers expressed relief that the Island valuations hadn't risen as in previous periods. Ian Ivers believes the low increase reflects a market correction after the 2003-04 boom where prices were over-inflated.
“The market's worked out what things are worth over here. We won't see those (inflated) prices for another 3 years. There's a whole lot more mortgagee sales at the moment. I can think of 10 or 12 properties. People are in hot water now from the over-inflation by previous marketeers.”
“The market has re-corrected prices in some properties at Nelly Bay Harbour by over 30% and I think it's still dropping,” he said.
From a rate payers perspective the 1% increase is, however, good news. Ian Ivers says, “I think they (land valuers) have done the right thing.”
For Townsville, average residential valuation levels increased in the inner suburbs from $115,000 to $152,000 and in the western suburbs from $102,000 to $145,000.
Prestige elevated and water front lands generally have remained stable and range between $450,000 and $1,000,000.
Closer to Townsville city, larger residential and rural residential site values reflected similar increases, however outer areas indicated increases of 70 to 100 per cent.
Multi-residential lands also increased 25 per cent during the period.
Commercial land values remained the same in the central business district, while suburban areas increased between 10 and 70 per cent.
Rural lands have increased by an average 98 per cent on the back of the strong western rural land increases over recent years.
“The land valuations, which take effect on 30 June 2010 for rating, land tax and State land rental purposes, provide a snapshot of unimproved land values on 1 October 2009 and reflect the movement in the local property market since the last valuation was undertaken,” Mr Bowen said.
Details of the new annual valuation of rateable lands can be inspected until 21 May 2010 at Department of Environment and Resource Management, Level 3, 187-209 Stanley Street, Townsville, or at Townsville City Council, Administration Building, 86 Thuringowa Drive, Kirwan, during normal business hours.
Indicative valuations, market tables for major residential localities and other valuation information are also available on the DERM website (click here) until 21 May 2010.
Mr Bowen said it was important the public realised that valuation notices were not rate notices.
“Rates are set by local government authorities.
“Under the Local Government Act 1993 councils determine rates based on a number of factors, valuations being just one of these.
“General rating enquiries should be directed to property owners’ local councils,” he said.
If a landowner believes their valuation to be incorrect, and can provide information to support this, objections can be lodged with DERM by 6 May 2010.
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