THE value of residential properties in the City of Ballarat has increased by 4.3 per cent, while rural land has soared by 8 per cent since 2012, a new report has found.
The findings were part of the 2014 General Valuation Report, which analysed the real estate market in the city over the past two years.
City councillors are expected to adopt the new valuations, for rating purposes, in a report to go before the council meeting on Wednesday night. The valuations are based on market levels as of January 1, 2014, and will be used for the purpose of levying rates and charges.
A report to be table at Wednesday’s meeting stated although a revaluation did not mean an opportunity to increase rate revenue, “it can redistribute the rate burden across and within categories of properties” in Ballarat.
The report found the value of the city’s 40,424 residential properties increased by almost $479 million and Ballarat’s 3293 rural properties by more than $122 million.
It also found the city’s almost 3000 commercial properties had increased by 4.9 per cent and the value of the Ballarat’s 1388 industrial properties jumped by 7.2 per cent.
According to Real Estate Institute of Victoria affairs manager Paul Bird, the findings of the report are in line with the real estate market in Ballarat in the last year.
“We have seen an increase in the values of properties across Ballarat of just under 4 per cent in the last year,” Mr Bird said. “The market has seen an increase across Victoria on the back of lower interest rates which have been on hold for the last 11 months, plus a greater interest in the housing market in the region from investors.”
He said the increase in value of residential land was similar to other regional cities, including Geelong and Mildura, which experienced an increase of 4 and 6 per cent respectively.
But Mr Bird added while properties in suburbs including Alfredton, Delacombe, Buninyong and Ballarat North remained in high demand, others areas like Mitchell Park and Redan were lagging behind, with less than 50 sales each in the past year.
The city’s 830 non-rateable land properties, which includes buildings positioned on Crown land, also rose in value by 1.4 per cent.
The report was conducted by the City of Ballarat’s contract valuer, Opteon Pty Ltd.
The city is required by legislation to revalue all properties within the municipality every two years.