Gobbagombalin records second highest house value growth in regional NSW since COVID-19 hit

According to data from CoreLogic, the suburb of Gobbagombalin has experienced the second highest house value growth out of all regional areas in NSW, when measured from the beginning of the pandemic.

The median value of a house in Gobbagombalin has risen to $773,215 - an increase of 77.4 per cent since COVID first began making waves in March 2020.

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Fitzpatricks Real Estate director and sales consultant Paul Gooden says he is not surprised values in the northern suburb have risen so much, considering the huge demand in the area.

"I know that Estella and Boorooma probably aren't too far behind that. They're just the tip of the iceberg because there's a lot more increases in value right across the board [since the pandemic began]," Mr Gooden said.

While part of the growth has been attributed to the rise in tree changers escaping the cities to live in regional areas during the pandemic, Mr Gooden believes investors have played the biggest role in driving up the cost of Gobbagombalin homes.

"Rents are increasing and that attracts investors who see [Gobbagombalin] as a good, solid return. The 'get in' price here in Wagga is also a lot less than it is in Sydney and other metropolitan areas," he said.

While house values across regional NSW have finally started to drop in recent months, Mr Gooden said they will likely remain far above pre-pandemic levels.

The regional area which experienced the highest growth in house values was the small town of Tumbarumba, about 110 kilometres south-east of Wagga.

The median value of a home in Tumbarumba is now $327,139, which is 81.5 per cent higher than when the pandemic began.

Martin Wilton said there has been a "dramatic" rise in property values and rents across Tumbarumba since he moved to the town from Wollongong about four years ago.

As the licensee of the town's Union Hotel, Mr Wilton is "at the coalface" for discussions about the rising house values - which he says have become a daily conversation among locals.

"That's probably the biggest talking point in the last handful of months here ... the patrons talk about it nearly on a daily basis," he said.

Mr Wilton said the skyrocketing cost of homes and subsequent increases in rents are piling pressure on many locals, who are suddenly finding themselves priced out of the rental market.

"For the average person in this town, when rents are starting to get up around $350 or $400 - it's out of reach and they have to share a place," he said.

Mr Wilton said the town seems to be attractive to tree changers and investors as it is far away from the "hustle and bustle" while still containing all necessary services.

The fourth highest rise in regional NSW was Gundagai, about 80 kilometres east of Wagga, where the median house value jumped 72.9 per cent to $370,512.

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