The growing divide between unit and house prices is expected to continue to deepen, with the former outperforming the latter in many locations thanks to better price accessibility. With that in mind, here are the top Sydney suburbs expected to experience price growth over the next six months.
Located 60km south-west of the CBD, Narellan Vale is a family friendly suburb close to Camden in the Macarthur region. Tipped to experience price growth of 8% by mid-2023, the median house price here currently sits at around $903K. In October of 2022, the gross rental yield clocked in at 3.7%, with a vacancy rate of 0.4% and a median weekly rent of $663. Sydney-suburbia with a country town feel, Narellan Vale might be worth dropping in a pin in.
Neighbouring Narellan Vale, Mount Annan is a fellow Camden Council suburb also projected to experience 8% growth. Boasting a slightly higher median value of $950K, the gross rental yield recorded in October 22 was 3.6%, with a vacancy rate of 0.9% and weekly median rent of $655—a 12 month change of 12%.
Also tipped to join the 8% club is the peaceful and relaxed suburb of Glenhaven in the Hills District, alongside neighbouring Kellyville. In Sydney’s Inner West, the bridesmaid suburb of Strathfield might finally have its day at the altar thanks to projected value growth of 6%. Here, the gap between unit and house prices is one of the biggest in the state—the current house median sits at $3.68M, while the median unit price is a fraction of that price at $680K.
Over in Sydney’s exclusive Eastern Suburbs, Bronte’s property market looks set to enjoy another stellar year. The coastal neighbourhood’s already staggering median house price of $6M is expected to climb a further 6%, proving it’s never a bad idea to invest in the beach if you have the means. Houses have seen 7.01% growth in the past quarter, and 6.02% growth in the past 12 months. Meanwhile, current rental yields for houses in Bronte sit at 1.70% with an average median rent of $1,762 per week.
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Further south in the shire, the subtly strong performing suburb of Sylvania is tipped to enjoy 5% growth. If you’re thinking about buying an investment property in Sylvania, consider that rental yields for houses are currently 2.43% with an average median rent of $882 weekly. Houses (currently with a median price tag of $1.7M) have seen -1.93% growth in the past quarter, and 5.98% growth in the past 12 months.
Finally, in Northmead, the leafy greater western Sydney suburb close to Parramatta, 4% growth is on the horizon. With a current median of $1.45M, Northmead registered a +4.92% unit growth in the final quarter of 2022 that is forecast to continue well into 2023.
Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice.
