As part of our investment due diligence (DD for short), Leith Group Developments completes comprehensive research on the area’s underlying economic performance.
This week’s spotlight is on the sales data (available through RPData) for that Wollondilly local government area (LGA), relating to land lots. Specifically, the data is targeting:
- Land lots up to 1,000m2
- Minimum values of $100,000
- Suburb sales of at least 10
- Between Jan 2018 and present day (Oct 2022)
The below table shows the results of the analysis and provides an ‘area score’ for each of the suburbs. Not all suburbs for Wollondilly are shown here due to the parameters as described above.
The ‘area score’ has been calculated based off the following criteria:
- 5-year growth greater than 0% = 1-point
- Average annual growth (over 5 years) greater than 0% = 1-point
- Volatility (calculated as the standard variation) less than 10% = 2-points
- Volatility (calculated as the standard variation) less than 20% = 1-point
- Number of sales are over 20% of the LGA total = 2-points
- Number of sales are over 10% of the LGA total = 1-points
- Average values are between 1.1x and 1.8x LGA average = 2-points
- Average values are greater than 1.8x LGA average = 1-point
Utilising these criteria, the score represents the suburbs within the LGA which have achieved a pattern of growth, with low volatility and maintained objectively reasonable values. From these measures it can be seen the highest-ranking suburbs were Wilton, Thirlmere and Tahmoor.
Key statistics for Wollondilly LGA:
- Average value: $856,916
- Average $/m2: $597
- Average lot size: 17,144.1m2
- Total number of sales: 1,535
