Thanks to lower interest rates, relaxed lending policies and a heightened demand in housing, property values in many Sydney suburbs are projected to increase by 7% or more this year.
Potential buyers who were previously priced out are now back in the game—and if you’re one of them, here are five of the best suburbs to keep an eye on.
After a stagnant couple of years, the tide is set to change in the beachside suburb of Bronte, where the current median house price of $3,127,000 is forecast to grow by approximately $219,000 over the next year. Offering scenic walking paths south to Coogee and north to Tamarama and Bondi Beach and only a short bus ride to the CBD, this coastal enclave in Sydney’s prestigious Eastern Suburbs is set to see significant growth this year. Pro-tip: keep an eye on neighbouring postcodes like Kensington and Pagewood that could experience a flow-on effect from Bronte’s increasing popularity.
Just a ten-minute drive from Manly, you’ll find the family friendly suburb of Allambie Heights on the Northern Beaches. Tucked away between a host of significantly pricier suburbs—including Balgowlah Heights and Seaforth—Allambie Heights is the perfect combination of seclusion and convenience. Leafy, spacious, and accessible to and from the city by reliable bus and ferry options, this beachside suburb’s median house price of $1,402,000 is projected to rise by $98,000 over the coming year.
About 36 kilometres south of Sydney CBD sits the Sutherland Shire suburb of Heathcote. Surrounded by scenic bushland (The Royal National Park to the east, and Heathcote National Park to the west), it’s a quiet suburb oft overlooked on the drive down the South Coast. But it’s time to start paying more attention, because it’s forecast to enjoy upwards of 7.1% growth this year. Currently, median house prices sit affordably at around $836,000, but that number is forecast to increase by roughly $60,000 as demand for spacious suburban homes in the Shire continues to increase. Another pro-tip: keep your eye on the nearby suburb of Loftus, which is also projected to enjoy growth in the coming year or two.
While we’re still poking around the Sutherland Shire, let’s turn our attention to Bangor, a quiet pocket of suburban Sydney that has largely been spared from overdevelopment. Here, you’ll find well-constructed freestanding family homes on spacious blocks of land, convenient public transport options (including close proximity to direct-to-city trainlines), and well-regarded school options. Analysis suggests that over the next year, median house prices could increase by up to 7.5 percent or $76,000 respectively.
If you’re looking for somewhere a little closer to the city, just seven kilometres south of the Sydney CBD is the increasingly popular inner west suburb of St Peters. Proximity-wise it’s got a lot going for it—less than ten minutes on foot will land you right in the thick of Newtown’s trendy King Street or Marrickville Metro, whilst travel time to Sydney Airport is 20 minutes on the train or 10 minutes by car. In terms of projected growth, this suburb is set to experience a significant rise, with median house prices forecast to surge by $140,649. The pro-tip for this one seems pretty obvious—get in now.