This article is from the Australian Property Journal archive
INNER city Sydney house sale prices have made a significant recovery in the 12 months to March 2010, according to research from PRDnationwide.
PRDnationwide managing director Jim Midgley said seven out of NSW’s top 10 growth suburbs were located within 7km of the Sydney CBD.
“Topping the list for best price growth was Bondi Junction in Sydney’s inner east – registering an astonishing 56.8% increase in median sale price,” he added.
Research analyst Dan O’Halloran said North Bondi recorded the second highest price growth of 52.2%.
“Bucking the inner city trend for growth was Oberon, which is located approximately 125km drive west of Sydney’s CBD,” he added.
Despite Oberon achieving a 12 month growth rate of 48.3%, the closing median sale price of $353,000 still represents a relatively affordable real estate market.
O’Halloran said an overall trend had emerged of strong growth in Sydney’s prestigious suburbs, with seven out of the top ten recording median greater than $1 million.
“Unfortunately this growth represents a recovery in markets which experienced significant softening’s during the economic downturn which unfolded during 2008.
“Whilst such strong growth in median sale price no doubt indicates that the value of real estate in many of these suburbs has appreciated, such extreme fluctuations is a sign of the times, demonstrating the current turbulence in the market,” he added.
The unit market was also similar to the house market with seven out of 10 top growth suburbs located within 10km of CBD.
Once again, the Inner Eastern suburb of Bondi Junction achieved the highest growth rate, recording a staggering 56.1% growth in median sale price throughout the 12 month period ending 31 March 2010.
PRDnationwide research shows this growth resulted in a median sale price figure of $679,000.
This was followed by another premium Eastern suburb of Clovelly, which recorded 52.9% growth.
O’Halloran said it was not surprising to see unit markets doing well in the inner suburbs of Sydney.
“As the growing population continues to increase the demand for well-located residency, the more affordable, low maintenance unit type product is quickly becoming a suitable and realistic alternative to houses in the inner suburbs of Sydney,” he concluded.
Australian Property Journal
