IN a year when COVID-19 and its associated lockdowns have torn holes in the Australian economy, lifted the unemployment rate and tipped the nation into recession, it is an initial surprise to discover a year-on-year increase in land sales so big our major developers say they are having trouble keeping up with demand.
Yet that's the situation here in the Hunter, where property data indicates vacant lot sales are up by 70 per cent on last year.
Given the global uncertainty created by coronavirus, an apparently widely spread surge in land and house packages in the Hunter certainly seems to be against the trend.
Nationally, housing prices are said to be down by 10 per cent so since the virus took hold, but the Hunter real estate market overall has remained solid, with properties in established suburbs selling quickly.
Hunter housing has been resilient throughout COVID , up by 2.1 per cent in Newcastle and Lake Macquarie and 2.4 per cent across the rest of the region in the third quarter of 2020
Tim Lawless, CoreLogic
New subdivisions historically attract lots of young families, looking for houses with a decent backyard for children to play in.
Industry figures attribute much of the present demand to record low interest rates combined with various incentives, including HomeBuilder, a $10,000 grant and stamp duty concessions to first home buyers.
While this is a healthy situation, overall - keeping builders and work and allowing more families to escape the treadmill of rent - it raises planning questions that need to be answered if the region is to best accommodate a burgeoning population.
In May 2018, an Australian Bureau of Statistics paper on the nation's "internal migration" confirmed "large flows" of people moving from Sydney to Newcastle and Lake Macquarie.
It came just weeks after then NSW opposition leader Luke Foley was heavily criticised for an unguarded description of that same exodus as "white flight".
Even if the Hunter's population growth is nowhere near as great as Sydney's, care is still needed to ensure our region does not lose its unique attractions through residential expansion by "urban sprawl".
New subdivisions are inevitable, but higher density living in city and town centres can play a major role in preserving green space elsewhere, as difficult as this can be for existing residents.
The Hunter will continue to grow and change, and we should welcome new arrivals to a place we love and care for.
A strong property market in the face of adversity is a sign of confidence in our region and its future.
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