The national housing market finished on a high note last year, with every capital city bar Darwin and Adelaide recording positive property value growth in 2019.
But there’s one city that looks like it’s well and truly blossoming again, and it’s Sydney.
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According to Select Residential Property Research director of research Jeremy Sheppard, there are a handful of regions that will see eye-watering house price growth this year – but the Harbour City is home to all the areas that will see growth of more than $100,000.
Why are Sydney house prices growing again?
There are two reasons why Sydney’s property market is strengthening, Sheppard said: demand is still exceeding supply, and the prices are coming back from where they were during the downturn.
“With a drop in interest rates, all of a sudden buyers priced out of these markets are back in with a chance,” he said.
However, he cautioned that these figures did not mean that ‘boom-type conditions’ in Sydney are back.
“The top growth rate isn’t even above 8 per cent,” Sheppard said, “But pretty good nonetheless.”
Here’s a look at the Sydney suburbs where house prices will jump by more than $100,000:
Bronte, Sydney NSW: +$219,000
Paddington, Sydney NSW: +$145,000
Collaroy Plateau, Sydney NSW: +$107,000
Davidson, Sydney NSW: +$103,000
Allambie Heights, Sydney NSW: +$98,000
Narraweena, Sydney NSW: +$93,000
Where else are house prices expected to grow?
While Sydney is expected to see the highest growth in terms of dollar value, the suburb where median house prices are expected to jump the most in terms of percentage value is Tasmania’s St Leonards, where prices are set to rise by 7.5 per cent in 2020.
“While it’s only located about 10 minutes from the centre of Launceston, St Leonards offers a mix of residential and semi-rural homes, with an affordable price tag to boot,” Sheppard said.
Sydney’s Bangor is also expected to rise by 7.5 per cent this year.
“About 28 kilometres south of the city, Bangor has a relatively affordable median house price, in Sydney terms, as well as being located near the Georges and Woronora rivers, which makes it an attractive proposition for both homebuyers and investors,” he added.
Aussies can also expect superior property value growth in Canberra’s Crestwood and Adelaide’s Birkenhead at a forecasted 7.3 per cent price rise.
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