Recent data released by CoreLogic Research has shown that the Richmond-Tweed region, which includes Lismore, was the weakest performing regional market for houses in NSW.

CoreLogic last week released its Regional Market Update Report, which showed that not only did our region record the largest annual decline in values of all 25 regions analysed (-24.2%), but it also recorded the largest drop in annual sales activity (-39.9%).

The weak conditions follow a dramatic cycle of growth where Richmond-Tweed house values surged 51% during COVID. Despite the sharp drop, values remain 14.4% above pre-COVID levels.

However, is it surprising and is it fair to compare Lismore to other regions given the total devastation caused by last year's natural disaster.

The Lismore App spoke to local real estate agent Andrew Gordon, for his take on the recent report.

“I love their timing, on the back of the world's worst disaster, and they write a report comparing us to other regions,” he said.

“I guess it accurately reflects where we are, but it did not have the disclaimer to say that this is as a result of a disaster.”

“They’re comparing a very buoyant market of 2020 and 2021 to the market now, when it’s just not comparable.”

CoreLogic’s report also showed the region had the highest vendor discounting rate (-7.9%). Vendor discounting represents the percentage difference between the listing price of a property and its final price as presented in the contract of sale. 

“Of course, there's been some discounting, particularly around the floodplain, and the areas closer to the floodplain, and it’s obvious why that’s happened.”

“But places like Goonellabah – yeah, there's been a little bit of money come off – but that's probably more on the back of interest rates.”

“We’re a very unique case where we are dealing with one area that’s been wiped out by a disaster, and the rest of the area is dealing with the same external pressures as other regions.”

“Having said all that, we've had a really good run in the last three weeks, but the volume of sales is nowhere near what it was, and it probably might not be for a little while.”

“But once again, that's not solely because of the disaster, it's the bigger picture stuff like interest rates and affordability.”

“There'll always be demand for housing here, this is the world's best place to live.”

“To be perfectly honest, I think there's far more confidence now than there was, say 12 months ago.”

“There's far more confidence in Lismore, and I'm hoping that momentum keeps up because it'll be good for everyone eventually.”

CoreLogic’s report coincides with another study that has shown Australia’s rental affordability has hit its worst levels in nearly a decade.

According to Everybody’s Home, a coalition of housing, homelessness and welfare organisations, this underscores the need for more social and affordable housing.

In the latest ANZ Housing Affordability Report, it says the median household would need to spend almost a third of its income to service a new rent lease – putting them in housing stress – while lower-income families would have to pay more than half their earnings.

Everybody’s Home spokesperson Maiy Azize called for more social and affordable housing.

“This report shows that average Australian households are in housing stress. Housing stress can push people into homelessness and put pressure on the services they turn to for help,” she said.

“At the same time as record numbers of people are in hardship, our social housing shortfall has never been bigger. We simply cannot end Australia’s housing crisis without more social housing.”