Daydreaming about your favourite home again? What would it really take to buy ‘that’ house in the best suburb in town? Read our nationwide price update to find out what those ‘must-have’ homes are really selling for, up and coming suburbs to watch and where the best rental returns can be found!

By: Victoria O'Neill, Jan 2020

Looking back on the performance of Australia’s property market in 2019 is a bit like going on a virtual rollercoaster. The nation’s largest and longest home price correction was accompanied by record low property turnover rates and low available stock.

The latter half of the year then saw a Lazarus-like recovery in some markets where house price records were smashed.

So how much did people actually pay for property in 2019 and what suburbs really delivered returns for investors? CoreLogic have compiled their ‘Best of the Best’ report to reveal the top performing suburbs in Sydney, Melbourne, Canberra, Brisbane, Perth, Adelaide, Darwin and Hobart.

Adelaide

  • The top dollar suburb

    • You know you’ve arrived in Adelaide when you can call Unley Park home. The leafy suburb is close to the CBD, beaches and some of the city’s top schools. A home in this exclusive postcode in 2019 cost buyers a median price of $1,395,975.
  • Best value near the city

    • The north-western suburb of Athol Park’s redevelopment makes it a suburb to keep an eye on, along with it’s a median home value of $385,749.
  • The suburbs for savvy investors

    • Adelaide investors enjoyed some of the highest gross rental yields in the country. The suburbs delivering the best yields included Glen Osmond, Central and Hills where returns of 8.0 per cent were achieved in 2019.
    • The best year-on-year property price growth was seen in the Hill’s districts (Adelaide and Central) where increases of 8.0 per cent were recorded.
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Brisbane

  • The top dollar suburb

    • If you are looking for the best of the best in Brisbane, then look no further than the historic riverside residences of Teneriffe. Just 2.5 kilometres away from the city’s CBD, homes in this sought-after suburb came with a median price tag of $1,712,100 in 2019.
  • Best value near the city

    • Considered by locals as a hidden gem, the suburb of Rocklea offers homeowners large blocks and easy access to the highlights of Brisbane living. Diamonds in the rough could be bought here for the median price of just $397,273 in 2019.
  • The suburbs for savvy investors

    • Just an hour outside of Brisbane will take you to the charming country town of Kilcoy, and the place where investors are seeing the best gross rental yields of 6.8 per cent in the state.
    • Pricewise, there wasn’t a lot of movement in the Brisbane market in 2019. Those in the inner-city suburb of Hawthorne saw the best year-on-year price growth at 6.0 per cent.
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Canberra

  • The top dollar suburb

    • A life of luxury in our nation’s capital could be secured for a median price of $2,409,992 in 2019. Considered to be part of ‘old Canberra’ the prestigious suburb of Forrest, located on the southern side of Lake Burley Griffin, topped the list for the most expensive homes in the territory.
  • Best value near the city

    • Staying close and connected to the political engine room of the country, as well as great shopping and dining options can still be achieved in Canberra with six figures. Homes in the suburb of Scullin, a 20-minute drive from the heart of Canberra, were secured in 2019 for a median price of $529,686.
  • The suburbs for savvy investors

    • For those looking for quality gross rental yields, the suburb of Taylor, located just 16 kilometres from Canberra’s city centre, topped the list with returns of 6.9 per cent.
    • When it came to property price growth in 2019, the suburb of Melba hit the high notes just like its namesake soprano, Dame Nelly Melba. Home’s in Melba increased in value year-on-year by 17.1 per cent.
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Darwin

  • The top dollar suburb

    • According to the locals, nothing beats watching a sunset from Fannie Bay, unless you are lucky enough to own one of Fannie Bay’s ‘old Darwin’ homes. These slices of paradise are known for their large blocks, established gardens and homes that are meant for the tropics. In 2019, the median price for a Fannie Bay property was $717,334.
  • Best value near the city

    • With access to great parks, sports facilities and shops, Anula is close to Darwin’s CBD but offers resident’s a great lifestyle at an affordable price. Residents here paid a median price of $408,892 to join the suburb in 2019.
  • The suburbs for savvy investors

    • A relatively new suburb, Zuccoli is proving to be a savvy investment spot for those in Darwin. Gross rental yields here topped the territory with returns of 8.6 per cent.
    • Residents of Palmerston North achieved the top property price growth with homes selling for 5.7 per cent more in 2019 than the previous year.
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Hobart

  • The top dollar suburb

    • Close to the CBD and city’s iconic Salamanca markets, Battery Point offers easy living, beautiful views and the most expensive homes in Hobart. Once a maritime village, catching one of these must-have homes required a median bait price of $1,090,564.
  • Best value near the city

    • If you are looking to get your foot on the property ladder in Hobart, the suburb of Risdon could be for you. Homes here sold for a median price of $287,616 in 2019, making it ideal for first home buyers.
  • The suburbs for savvy investors

    • Located on the eastern shore of the Derwent River, Hobart’s northern-most suburb of Gagebrook offered the country’s highest gross rental yields. Investors here saw returns of 8.7 per cent.
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Melbourne

  • The top dollar suburb

    • Synonymous with wealth and luxury, Toorak remains one of the most coveted suburbs in Melbourne. It’s tree-lined streets continue to beckon Melbourne’s professional elite, along with an impressive roll call of celebrities and sporting stars.
    • Last year, the suburb’s newest residents paid a median price of $4,694,283 to call ‘Toorak’ home.
  • Best value near the city

    • For those who find the lofty Toorak property price tags a little too much, Melbourne-city living can still be achieved for under a million dollars. A 30-minute commute from the heart of city will land you in what some describe as one of Melbourne’s best kept secrets, Maidstone West.
    • Homes in Maidstone West could be secured in 2019 for a median price of $833,514.
  • The suburbs for savvy investors

    • Once again, the hardest working properties delivering the highest gross rental yields were found outside of the city. Homes in the town of Lancefield offered investors the highest gross rental returns at 4.7 per cent.
    • Cash windfalls came to those in St Kilda where year-on-year median home prices increased by a whopping 19.6 per cent.
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Perth

  • The top dollar suburb

    • Close to the city, beautiful beaches and iconic views of Perth’s Swan River, Dalkeith reigns supreme when it comes to Perth home price tags. A home (or mansion) in this highly desirable locale set buyers back by a median price of $2,484,135 in 2019.
  • Best value near the city

    • The suburb of Nollamara has been quietly attracting city professionals and families for the last decade. While the suburb’s reputation has been quietly transforming, homes still offered great value with a median price of $347,176 for buyers in 2019.
  • The suburbs for savvy investors

    • Popular with those seeking more space and a reasonable commute to the city, Medina, topped the list for the highest gross rental yields in the region at 6.7 per cent.
    • Overall, property price growth remained stilted in Perth throughout 2019, but those in Hazelmere achieved a modest 1.5 per cent growth in home values.
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Sydney

  • The top dollar suburb

    • No surprises here, Sydney has topped the list again with the nation’s priciest suburb. Darling Point’s proximity to the city and stunning waterfront vistas have long made this one of the most desirable neighbourhoods in the country.
    • Based on last year’s property sales, home buyers looking to join this prestigious postcode needed to have very healthy bank accounts indeed with the median price for homes equalling $6,510,379.
  • Best value near the city

    • To be close to the action in Sydney you’ll still need a million dollars, just. In 2019, up and coming Arncliffe offered Sydneysiders the best opportunity to enjoy inner-city living at a more affordable median rate of $1,090,504.
  • The suburbs for savvy investors

    • If you’re an investor looking to find a property delivering great rental returns in Sydney, you’ll need to look beyond the city limits. Warragamba in Sydney’s outer west and homes in the beautiful Blue Mountains offered the highest gross rental yields of around 5.1 per cent in 2019.
    • For property price growth, Carlingford and Parramatta saw the highest year-on-year increases in value. Savvy sellers achieved 15.4 per cent higher sale prices for their homes than those sold in 2018.
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The opinions expressed in this article are the opinions of the author(s) and not necessarily those of State Custodians. The above is general commentary only and is not advice tailored to any individual’s financial situation. We recommend seeking advice from a mortgage or finance professional before implementing changes relating to your finances.

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