Despite a general slowdown in the real estate market, ten suburbs across Australia have seen their property values skyrocket by a minimum of 40% over the past year.
According to the latest Domain House Price Report, these high-performing areas are predominantly located in Queensland and Western Australia.
Leading the pack is Ardross in Perth, boasting a staggering 49.3% increase in house prices over the past year.
Local real estate agent David Gooding (pictured above left) explained the suburb’s surge.
“Ardross is doing a little bit of catch-up from some of the surrounding suburbs,” Gooding said, attributing Ardross’ popularity to proximity to sought-after areas like Applecross and Acton and access to renowned high schools.
He further noted the appealing lifestyle amenities such as river and city proximity, which make Ardross an attractive place for families seeking quality education and lifestyle.
The median house price in Ardross currently stands at $1,567,500.
Homes typically available within this budget include older properties built before the 2000s, offering around 450 square meters of land. Properties larger or newer require a budget starting from $1.8 million, Domain reported.
While Ardross showcases significant growth, Nicola Powell (pictured above right), Domain’s chief of research and economics, pointed out that the majority of the top performers are actually more affordable areas.
“The better-performing suburbs are the more affordable ones because of the lack of affordable housing across Australia,” Powell said, highlighting a trend towards seeking value for money, either within or outside of capital cities.
In Medina, another suburb of Perth, the median house price increased by 47.6% to $522,500 – significantly below the national median.
“Medina is just undervalued,” Real estate agent Sue Done told Domain, mentioning ongoing renovations in the area that enhance its appeal to investors and first-time buyers alike.
Elsewhere, Highgate Hill in Brisbane saw its median unit price climb by 48.2% to $1,022,500 with limited new developments contributing to demand.
Rockhampton City experienced a 46.8% increase in median house prices to $350,000, attracting investors from larger cities due to high rental yields driven by its mining industry.
While affordable areas are currently leading in growth, Powell said this may not be a permanent trend.
She suggested that typically, the premium housing market leads and is followed by mid-market and lower-end segments, predicting a balancing out over time.
Read the Domain article here. Also access the Domain House Price Report for more information.
