Core Insights - A recent property report highlights significant declines in housing sales across several districts in Victoria, signaling potential risks for buyers who may have made poor investment choices [1][3] Sales Performance - The report identifies the ten districts with the largest declines in housing sales, including Glen Waverley, Doncaster, and Geelong West, where residential or apartment sales have halved within a year, making them some of the worst-performing markets in Victoria and Australia [1][3] - Glen Waverley saw quarterly apartment sales drop from 84 to 40 units, Broadmeadows' house sales fell from 52 to 26 units, and Geelong West sold only 18 homes last quarter, less than half of the previous year's sales [3][5] Market Dynamics - Hotspotting's founder, Terry Ryder, indicates that the sales decline reflects deeper issues rather than statistical anomalies, with a noticeable drop in demand in key central and fringe areas [3][5] - The affordability crisis is driving buyers away from areas lacking value for money, particularly in densely populated apartment zones like Doncaster, Box Hill, and Williamstown, where prices are perceived as unreasonable [5][6] Supply and Demand Issues - The apartment market's struggles are attributed to oversupply, with areas lacking scarcity and urgency, which stifles capital growth [5][6] - Glen Waverley, Doncaster, and Box Hill previously relied on international students and overseas family demand, which has not fully recovered post-COVID, leading to persistent oversupply issues [5][6] Regional Variations - Not all districts experiencing sales declines share the same underlying causes; for instance, Geelong West's drop in sales is more related to supply constraints than demand [6] - The region's housing prices remain stable, and recent buyer activity, particularly from interstate buyers, indicates a resurgence of confidence in Geelong [6] Taxation and Regulatory Challenges - Victoria's tax policies, including increased land taxes, strict rental reforms, and rising compliance costs for investors, are significant barriers for buyers, particularly for ordinary landlords feeling constrained [7] - Over 24,000 rental properties have been lost in the past year, leading to financial losses and additional tax burdens, prompting some landlords to sell their properties [7] List of Worst-Performing Areas - The report lists the worst-performing areas in Victoria, including Box Hill, Broadmeadows, Doncaster, Geelong West, Glen Waverley, Thornhill Park, Trafalgar, and Williamstown [7]