Authored by the expert who managed and guided the team behind the Australia Property Pack
Yes, the analysis of Sydney's property market is included in our pack
Where are the best places to invest in Sydney right now? Is the Central Business District still the top pick, or are suburbs like Parramatta, Bondi, and Surry Hills gaining ground? What makes these locations attractive to both local and foreign investors?
We’re often asked these questions because we work directly with real estate agents, property developers, and clients who invest across the city. Our firsthand experience in these markets gives us unique insights into where the real opportunities lie. To save everyone from asking privately, we’ve written this article to share our knowledge broadly.
Our goal is to highlight the hottest markets in Sydney and explain why they’re worth your attention in 2025.
If you have suggestions or want us to dive deeper into a specific area, let us know. You shoot an email, we answer within 24 hours.
How this content was created 🔎📝
1) Schofields is thriving with rapid development and rising demand for new family homes
Schofields is booming thanks to rapid development and a surge in demand for new family homes.
Property prices are climbing, with apartments in Schofield Gardens growing at 6.3% annually since 2020. This trend is mirrored in rental markets, where median weekly rents have jumped by 38% over the past three years, making the area attractive to both investors and residents.
New housing projects are popping up everywhere. The Jasmine Project, for example, made a splash with $85 million in off-the-plan sales during its first weekend, selling 60% of its 232 apartments. This includes many first-home buyers and investors, showing strong interest in new housing options.
Previous developments like Bottlebrush and Wattle in Schofield Gardens were completely sold out before they were even finished, underscoring the area's popularity. The demand is not just a fluke; it's a trend that's here to stay.
Schofields is also seeing a population boom. Blacktown City Council expects 8,000 new residents each year until 2041, which will only increase the need for more housing. This influx is particularly appealing to first-home buyers.
In ALAND’s latest release, over 50% of buyers were first-time purchasers, drawn by affordable homes starting at $475,000. Schofields is clearly a hotspot for those looking to settle down.
Sources: ALAND, Realestate.com.au
2) Kellyville is thriving with its family-friendly vibe and new housing developments
Kellyville is booming thanks to its welcoming vibe for families and fresh housing projects.
In recent years, both Kellyville East and West have seen their populations soar. For example, Kellyville East's population jumped from 3,445 in 1991 to 17,705 in 2023. Meanwhile, Kellyville West's numbers climbed from 428 in 1991 to 13,411 in 2023. This growth is a testament to the area's appeal and the influx of new residents.
A big driver behind this surge is the NSW Government's plan to expand the area between Kellyville and Bella Vista Metro stations. This ambitious project includes the development of 20,700 new homes, part of a larger effort to enhance housing options and infrastructure. It's all about making the area more inviting for families looking for a place to settle down.
Kellyville is known for its family-friendly atmosphere, and the numbers back it up. The suburb has a high percentage of families with children, which is reflected in the bustling local schools. In fact, over 40% of schools in The Hills Shire are bursting at the seams, exceeding their enrollment caps. This shows a strong community focus on education and family life.
With these developments, Kellyville is becoming a hotspot for families seeking a balanced lifestyle. The combination of new housing, improved infrastructure, and a family-oriented community makes it an attractive option for potential homebuyers.
Sources: Kellyville (East) Population Statistics, NSW Government Plan for Kellyville and Bella Vista Precincts, Kellyville (West) Population Statistics
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Australia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
3) Penrith is attracting interest for its affordable housing and upcoming transport upgrades
Penrith is becoming a hot spot for homebuyers due to its affordable housing options and upcoming transport improvements.
In early 2024, the median house price in Penrith was $955,000, making it a more budget-friendly choice compared to central Sydney. This shift is largely because central Sydney's high property prices have nudged buyers to explore outer suburbs like Penrith.
From 2023 to 2024, Penrith saw a 11.0% annual increase in median house prices, highlighting growing interest in the area. A big draw is the Sydney Metro West project, which promises to enhance connectivity and cut down travel times for Penrith residents with new underground stations.
The Penrith City Council is also on the ball with its Affordable Housing Strategy 2023-2026, aiming to offer a range of affordable housing options. This plan is in sync with the rising population in Western Sydney, where Penrith is located, and addresses the need for more housing and infrastructure.
Locals are excited about the Sydney Metro West project, which is expected to make commuting easier and faster. This development is a game-changer for Penrith, making it a more attractive place to live.
With these transport upgrades and housing strategies, Penrith is positioning itself as a desirable location for those looking to escape the high costs of central Sydney while still enjoying convenient access to the city.
Sources: Penrith City Council, Wikipedia, PRD Penrith
4) Liverpool is gaining interest for its affordable property prices and promising growth potential
Liverpool is drawing in investors with its affordable property prices and promising growth potential.
In 2023 and 2024, the city saw a 15.9% increase in unit sales, showing strong demand and market confidence. This means investors are seeing real returns, especially in houses. The median house price in Liverpool grew by 13.0% annually from 2023 to 2024, reaching $1,105,000. While unit prices softened a bit, the forecast still predicts a 20% rise in property prices from 2023 to 2026.
What's driving this growth? Major regeneration projects and increasing demand are key factors. Government infrastructure projects like the Western Sydney Aerotropolis – Bradfield and the Liverpool Waters regeneration are set to transform the city. These developments will add new homes, office spaces, and amenities, boosting property values and making Liverpool even more appealing to investors.
These projects are not just about buildings; they're about creating a vibrant community. The Western Sydney Aerotropolis, for instance, is expected to become a major economic hub, attracting businesses and residents alike. This will likely lead to increased demand for housing in the area, further driving up property values.
Investors are also eyeing Liverpool for its potential in capital appreciation. With the city's ongoing development and strategic location, it's becoming a hotspot for those looking to invest in property. The combination of affordable prices and future growth potential makes it a smart choice for investors.
Sources: PRD Liverpool Property Market Update 2nd Half 2024, PitchBook Property
5) Hornsby is gaining interest for its leafy surroundings and strong community amenities
Hornsby is a charming spot with a lush, green environment and a strong sense of community.
With nearly 59% of the area covered by trees, Hornsby boasts one of the highest tree canopy covers in Greater Sydney. This abundance of greenery not only makes the area beautiful but also creates a healthier and more pleasant place to live. Imagine waking up to the sound of birds and the sight of trees right outside your window.
Getting around Hornsby is a breeze thanks to its excellent public transport connections. With four rail stations and plenty of bus services, commuting and exploring nearby areas is easy. This convenience is a big plus for anyone looking to enjoy both the tranquility of Hornsby and the hustle and bustle of Sydney.
Hornsby’s local markets, like the Hornsby Organic Food Market and Hornsby Twilight Markets, add to its vibrant community feel. These markets offer fresh produce and local products, making it easy to support local businesses and enjoy the best of what the area has to offer.
The community spirit in Hornsby is palpable, often highlighted in media and by residents themselves. The area hosts various community events and festivals, which bring people together and create a strong sense of belonging. This community vibe is a key reason why many find Hornsby so appealing.
Living in Hornsby means being part of a community that values both its natural beauty and its people. The combination of a leafy environment and strong community amenities makes it a desirable place to call home.
Sources: Urban Forest Strategy, Integrated Land Use and Transport Strategy, Markets in Hornsby Shire
Get fresh and reliable information about the market in Sydney
Don't base significant investment decisions on outdated data. Get updated and accurate information with our guide.
6) Maroubra is gaining interest for its coastal lifestyle and steady property value growth
Maroubra is a hot spot for those craving a coastal lifestyle with steady property appreciation.
Over the last ten years, Maroubra's property market has been on the rise, with the median house price jumping 40% from $1.96 million in 2018 to $2.75 million in 2023. This makes it a promising area for property investment. If you're eyeing the Eastern Suburbs, Maroubra offers a similar beach vibe to Bondi Beach and Coogee but at a more wallet-friendly price. While Bondi Beach and Coogee have median house prices of $3.37 million and $3.9 million, Maroubra is a more affordable choice for those wanting a lively coastal community.
Maroubra's rental market is also buzzing. In 2024, the median unit rental price went up by 6.7%, and the number of units rented increased by 19.4%. This shows a strong demand, driven by the suburb's appeal to both families and singles. People are drawn to Maroubra for its community spirit, amenities, and easy access to public transport.
Living in Maroubra means enjoying a laid-back beach lifestyle without the hefty price tag of its neighboring suburbs. The area is known for its stunning beaches and vibrant local culture, making it a desirable place to call home. Whether you're looking to invest or rent, Maroubra offers a unique blend of affordability and lifestyle.
For those considering a move, Maroubra's growth potential and community vibe make it a standout choice. The suburb's steady property appreciation and thriving rental market are testaments to its growing popularity. With its beautiful beaches and friendly atmosphere, Maroubra is more than just a place to live; it's a lifestyle.
Sources: Realestate.com.au, PRD Maroubra Property Market Update 2nd Half 2024, PRD Maroubra Market Update 2nd Half 2024 PDF
7) Epping is gaining attention for its excellent school catchments and strong capital growth prospects
Epping is a hotspot for families, thanks to its excellent school catchments.
Schools like Epping North Public School are making waves with their impressive NAPLAN scores in reading and numeracy, as highlighted in their 2023 report. This shows that Epping schools are delivering top-notch education, a big reason why families are flocking here.
Epping Public School is also seeing a boom in enrollment, with a diverse student body that mirrors the area's multicultural vibe. This surge in numbers underscores the high demand for quality education in Epping.
On the real estate front, Epping's property market is thriving, with consistent value appreciation. The area's strong capital growth is fueled by its excellent schools and infrastructure, making it a magnet for families and investors alike.
Investors are particularly drawn to Epping for its long-term growth prospects, driven by the area's educational appeal and ongoing infrastructure improvements.
Families and investors see Epping as a smart choice, with its blend of educational excellence and financial potential.
Sources: Epping North Public School Annual Report, Epping Public School Annual Report, NSW Government Media Release
8) Blacktown is in demand for its diverse housing and closeness to major employment hubs
Blacktown is buzzing with high demand for housing right now.
One big reason is the steady population growth in the area. In 2023, Blacktown's population hit 426,202, marking a noticeable jump from the previous year. This influx of people naturally means more folks are looking for homes.
What makes Blacktown even more appealing is its diverse range of housing options. Whether you're a first-time buyer hunting for something affordable or a family needing more space, Blacktown has it all. Developments like Fairwater have added over 800 new homes, offering a mix of sustainable and budget-friendly choices.
Another major perk is Blacktown's proximity to key employment hubs. It's conveniently close to Parramatta and the Sydney CBD, which is a huge plus for commuters. The Sydney Metro Northwest has made getting around even easier, boosting Blacktown's attractiveness.
These factors combined make Blacktown a hot spot for homebuyers. The area's strategic location and variety of housing options are drawing in a wide range of people, from young professionals to growing families.
With all these advantages, it's no wonder Blacktown is seeing such high demand for housing. The mix of convenience, variety, and growth is hard to beat.
Sources: REIP, Profile ID, Realestate.com.au
We have made this infographic to give you a quick and clear snapshot of the property market in Australia. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
9) Parramatta is booming with strong rental yields and ongoing infrastructure projects
Parramatta is a hot spot in Sydney thanks to its strong rental yields and ongoing infrastructure projects.
Investors are drawn to Parramatta because of its impressive rental yields. The median house price has hit $1.7 million, and properties typically spend about 72 days on the market, showing a strong demand. This makes it a prime location for those looking to invest in real estate.
Parramatta is buzzing with major infrastructure projects like the Parramatta Light Rail and Sydney Metro West. These projects are set to boost connectivity and accessibility, making the area even more appealing to both residents and businesses. It's all part of a grand plan to turn Parramatta into a global city by 2050.
The City of Parramatta's 2050 vision is ambitious, aiming to create over 150,000 jobs in the next 25 years. This plan focuses on developing key precincts to attract businesses and offer diverse job opportunities, which will further fuel the local economy.
With these developments, Parramatta is not just a place to live but a thriving hub for work and play. The ongoing projects and economic plans are transforming it into a vibrant city, making it a top choice for property buyers.
For those considering a move or investment, Parramatta offers a unique blend of opportunity and growth, backed by strong infrastructure and economic plans.
Sources: CoreLogic, Raine & Horne, Mirage News
10) Surry Hills is booming with its vibrant lifestyle and strong rental demand
Surry Hills is buzzing with life and a hot spot for rental properties.
Investors love it here because of the high rental yields. The median unit price jumped by 7.1% last year, now sitting at $942,000, and homes usually sell in under a month. This shows there's a strong demand for rentals and not many empty places.
What makes Surry Hills special is its vibrant lifestyle. New restaurants, cafes, and cultural spots pop up all the time, drawing in a mix of people. Young professionals and students flock here, adding to the area's charm.
The media can't stop talking about how great Surry Hills is, which only boosts its reputation. It's a standout suburb in Sydney for a reason.
Sources: Smart Property Investment, Property Update, Profile ID
11) St Leonards is booming with strong rental yields and its proximity to the CBD
St Leonards is a hot market for property buyers.
One of the main attractions is its strong rental yields, which stand out even amidst challenges like high vacancy rates. Compared to other Sydney suburbs, St Leonards offers attractive rental returns, making it a magnet for investors seeking solid rental income. This is particularly appealing in a city where rental demand is consistently high.
Its proximity to the Sydney CBD is another major draw. St Leonards is one of the closest suburbs to the city center, making it a favorite among young professionals and renters who crave a short commute. This convenience keeps the demand for properties high, as more people look to balance work and lifestyle.
Public transport in the area is excellent, and it's about to get even better. With the Crows Nest Metro station set to open in 2024, commuting to and from St Leonards will become even more seamless. This development is expected to boost the suburb's appeal further, as easy access to transport is a key factor for many buyers and renters.
St Leonards combines strong rental yields, a prime location near the CBD, and excellent transport links, making it a highly sought-after spot. The upcoming metro station is just the cherry on top, promising to enhance connectivity and convenience.
Sources: Knight Frank, Property Update
Don't buy the wrong property, in the wrong area of Sydney
Buying real estate is a significant investment. Don't rely solely on your intuition. Gather the right information to make the best decision.
12) Mascot is popular for its airport proximity and strong rental market
Mascot is a hot spot for property buyers thanks to its closeness to Sydney Airport and a thriving rental market.
For frequent flyers and airline staff, living in Mascot is a dream due to its unbeatable convenience. The area is buzzing with business activity, like Veolia's big lease with Sydney Airport, which shows just how valuable Mascot's land is.
The rental scene in Mascot is on fire, with low vacancy rates signaling high demand. While we don't have exact numbers for Mascot, the trend across Sydney suggests it's a similar story here. The suburb's excellent public transport links to the city make it a top choice for renters who need easy access to downtown.
Property values in Mascot are climbing, reflecting its growing popularity. In 2024, Sydney property prices jumped by 3.3%, and some areas saw even bigger increases. This makes Mascot a smart pick for property investors looking for a promising return.
Real estate agents and media outlets are buzzing about Mascot, highlighting it as a prime investment spot. This buzz reinforces its appeal to both renters and investors who are keen on a solid investment.
With its strategic location and strong market dynamics, Mascot stands out as a desirable place for property investment. The suburb's connectivity and business growth make it a magnet for those looking to invest in a vibrant community.
Sources: Property Update, JLL, Savings.com.au
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility.