Looking for a tree change? So are many homebuyers as regional prices climb
![chairs-in-front-of-pool](https://cdn.mozo.com.au/images/atwood/13388/chairs-by-the-pool.jpg)
The pattern of property price growth in more populated areas and regional areas saw a change towards the end of 2021 after lockdown restrictions eased across Sydney, Melbourne and the ACT.
CoreLogic’s quarterly Regional Market Update finds that regional price growth accelerated to 6.3% over the three months to January 2022 while capital city dwelling prices continued to slow.
Homes in North East Tasmania lead all regions with an increase of 33.9%.
Launceston, Sunshine Coast and Kiama are areas that have seen the most significant increased property prices
Sharp increases to home prices were seen in a few regions - let’s take a closer look.
- Launceston and the North East region in Tasmania saw a 33.9% increase in values over the period, making it the best performing unit market of the regions analysed.
- Queensland’s Sunshine Coast region was second highest with a 31.1% increase.
- Bunbury (WA) was the only market to see a decline in values over the 12 months to January 2022 (-8.3%).
- Queensland’s Mackay –Isaac –Whitsunday region saw minimal growth (0.9%).
- Byron Shire (NSW North Coast) had the highest median house value of any regional LGA at $1,838,286 (+30.2%).
- Houses in the Kiama LGA (90km south of Sydney) recorded the largest increase at 43.9% taking its median value to $1,633,086.
What has caused these home buying trends?
According to CoreLogic’s Head of Research Eliza Owen, these trends may reflect post-lockdown market conditions, following suppressed migration and housing transaction activity across Sydney, Melbourne and the ACT in the three months to September.
Owen adds it might be due to the easing of social distancing restrictions in regional areas which in turn, “boosted buyer interest and a surge in interstate migration.”
What does this mean for the home loan market?
The increase in regional property costs means that regional areas are now less affordable for those who wish to move away from the city to take advantage of cheaper housing options.
The surge of people moving to such areas may also have an impact on the culture and infrastructure of these regions that are not used to housing so many people.
These trends will also most likely influence home loan rates in both regional and city areas. Right now, fixed rates are continuing their upward climb, while some lenders are offering good deals on variable rates. Currently, the average variable home loan rate is 3.09% p.a. (owner-occupier, principal and interest)
For more on the support available to first home buyers, browse our guide to first home owner grant and deposit schemes. And if you’re in the market for a home loan, visit our home loan comparison page, or browse the selection below.
Home loan comparisons on Mozo
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Featured Product
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Unloan Variable
Owner Occupier, LVR <80%
interest rate
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Initial monthly repayment5.99% p.a. variable5.90% p.a.Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
CompareCompareUnloan Variable
Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
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- 5.99% p.a. variable
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- 5.90% p.a.
- interest rate
- 5.99% p.a. variable
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- 5.90% p.a.
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- $0
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- $0.00
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- $0.00
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- yes - free
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- yes - free
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- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $10,000
- maximum borrowing amount
- $10,000,000
- type of mortgage
- Variable
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- Principal & Interest
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- Owner Occupier
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- Weekly, Fortnightly, Monthly
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- -
Read our Mozo Review to learn more about the Unloan Unloan Variable
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Discount Great Rate Home Loan
Owner Occupier, Principal & Interest, LVR<80%, over $150k
interest rate
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Initial monthly repayment6.04% p.a. variable6.06% p.a.An easy to use Home Loan with no establishment fee and no monthly or annual fees. Minimum deposit of 20% is required. Mozo Experts Choice Awards - Investor Home Loan Award 2024^.
CompareCompareDiscount Great Rate Home Loan
An easy to use Home Loan with no establishment fee and no monthly or annual fees. Minimum deposit of 20% is required. Mozo Experts Choice Awards - Investor Home Loan Award 2024^.
- interest rate
- 6.04% p.a. variable
- comparison rate
- 6.06% p.a.
- interest rate
- 6.04% p.a. variable
- comparison rate
- 6.06% p.a.
- Upfront fees
- $180
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- $0.00
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- $300.00
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- yes - free
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- yes - free
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- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $150,000
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- -
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- Variable
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- Principal & Interest
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- Owner Occupier
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- Weekly, Fortnightly, Monthly
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- $2,000 cashback for loans more than of equal to $250,000 with LVR <80%, or $2,500 cashback for loans more than or equal to $500,000 with LVR <80%. Applications from 1 June 2024, loan must be drawn down within 90 days from approval.
Read our Mozo Review to learn more about the Greater Bank Discount Great Rate Home Loan
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Basic Home Loan
Fixed, Owner Occupier, Principal & Interest, LVR<70%
interest rate
comparison rate
Initial monthly repayment6.25% p.a.
fixed 3 years6.20% p.a.No upfront or ongoing fees. Free extra repayments and redraw facility. Option to earn Qantas points. Min 30% deposit required. Borrow up to $10,000,000.
CompareCompareBasic Home Loan
No upfront or ongoing fees. Free extra repayments and redraw facility. Option to earn Qantas points. Min 30% deposit required. Borrow up to $10,000,000.
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fixed 3 years
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- 6.20% p.a.
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- 6.25% p.a.
fixed 3 years
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- 6.20% p.a.
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- $350
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- Maximum loan to value ratio
- 70.00%
- minimum borrowing amount
- $150,000
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- $10,000,000
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- Fixed
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- Owner Occupier
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- Monthly
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- -
Read our Mozo Review to learn more about the Macquarie Basic Home Loan
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Discounted Home Value Loan
Owner Occupier, Principal & Interest, LVR 70-80%
interest rate
comparison rate
Initial monthly repayment6.14% p.a. variable6.14% p.a.Enjoy competitive rates for owner occupiers. Enjoy unlimited free extra repayments. Flexibility to redraw additional payments for free. No ongoing monthly service fee. Settlement fee waived on new borrowings from $50,000 (T&Cs apply).
CompareCompareDiscounted Home Value Loan
Enjoy competitive rates for owner occupiers. Enjoy unlimited free extra repayments. Flexibility to redraw additional payments for free. No ongoing monthly service fee. Settlement fee waived on new borrowings from $50,000 (T&Cs apply).
- interest rate
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- 6.14% p.a.
- interest rate
- 6.14% p.a. variable
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- 6.14% p.a.
- Upfront fees
- $0
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- $0.00
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- $300.00
- Extra repayments
- yes - free
- Redraw facility
- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $50,000
- maximum borrowing amount
- $15,000,000
- type of mortgage
- Variable
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- Principal & Interest
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- Owner Occupier
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- Weekly, Fortnightly, Monthly
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- -
Read our Mozo Review to learn more about the HSBC Discounted Home Value Loan
-
Featured Product
Mozo experts choice awards won:
- Low Cost Home Loan - 2024
Unloan Variable
Investment, LVR <80%
interest rate
comparison rate
Initial monthly repayment6.29% p.a. variable6.20% p.a.Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for investors. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
CompareCompareUnloan Variable
Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for investors. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
- interest rate
- 6.29% p.a. variable
- comparison rate
- 6.20% p.a.
- interest rate
- 6.29% p.a. variable
- comparison rate
- 6.20% p.a.
- Upfront fees
- $0
- Ongoing fees
- $0.00
- Discharge Fee
- $0.00
- Extra repayments
- yes - free
- Redraw facility
- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $10,000
- maximum borrowing amount
- $10,000,000
- type of mortgage
- Variable
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- Principal & Interest
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- Weekly, Fortnightly, Monthly
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- -
Read our Mozo Review to learn more about the Unloan Unloan Variable
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