“The total land value for the North Coast NSW region increased by 28.7 per cent between July 1, 2020, and July 1, 2021 – from $89.3 billion to $115.5 billion”, Valuer General NSW writes in its January 18 report.
The region includes the following local government (LGA) areas: Ballina, Bellingen, Byron, Clarence Valley, Coffs Harbour, Kempsey, Kyogle, Lismore, Mid-Coast, Nambucca, Port Macquarie- Hastings, Richmond Valley and Tweed.
Valuer General, Dr David Parker, said property sales is the most important factor valuers consider when determining land values.
“Land value is the value of the land only and does not include the value of a home or other structures,” he said in a media release.
“Private contract valuers with expertise in their local areas have prepared the 1 July 2021 land values on behalf of the Valuer General, to determine new land values across the region.
“The valuers consider a range of factors in determining land value, including the features of the land and its legally permitted use.
“Valuer General NSW has quality assured the land values for fairness and consistency.”
The Clarence Valley LGA’s overall property value grew by 31.9 percent during the 2020/21 financial year.
The strongest growth, however, was in Byron (51.9%), followed by Ballina (39.3%) and Richmond Valley (38.4%).
“Sea and tree changers relocating to work remotely drove demand along the north coast seaboard,” the Vauer General’s media release stated.
As part of its process to value properties defined as ‘Residential sites – coastal towns and cities’, VGNSW selects “benchmark” properties.
“Most properties are valued in groups called components,” the VGNSW website states.
“A representative property is selected for each group and is known as the benchmark property.
“Each year the benchmark property is individually valued using market evidence to calculate its rate of change from the previous valuing year.
“This change is then applied to all the properties in the group.”
A property at Haigh St, South Grafton, is the chosen property in the Clarence LGA.
In 1996, the property was valued at $29,500; in 2019 and 2020, the property was valued at $70,000; its current value is $85,000 – a 21 per cent increase from the previous year.
Meanwhile, industrial and rural land in the Clarence Valley LGA increased in value over the 2020/21 financial year by 7.3 per cent and 22.9 per cent, respectively.
“Increased demand from both lifestyle changers and rural producers” influenced the rising value of rural land, the VGNSW media release states.
“Good rainfall, buoyant commodity prices, low interest rates and a favourable seasonal outlook has seen on-going demand for quality cropping and grazing land from local and interstate buyers and western graziers.”
North Coast NSW region local government areas