More than half of the most supercharged suburbs in the nation are located in New South Wales, with Western Australia failing to appear on a list it dominated last year, according to Hotspotting.
The Hotspotting price predictor index (PPI) Winter Edition includes the Top 50 supercharged suburbs where sales volumes have steadily increased over more than four consecutive quarters.
“History shows that there is a correlation between sales volumes and price movements: the number of sales changes first and then prices react – with a time lag,” said Hotspotting director Terry Ryder (pictured above).
In the latest Hotspotting research, NSW leads with 26 suburbs making the cut, followed by 10 suburbs in Victoria, six in South Australia, five in Queensland, and three in the ACT. Last year, Western Australia had more than a third of all supercharged suburbs but did not secure any entries this year.
Ryder cautioned investors about hasty decisions in the Perth market.
“We continue to warn investors to be cautious in approaching the Perth market – too many buyers are acting in haste, paying well above the asking price to beat the competition without regard to quality or location,” he said. “Many will regret decisions made in haste amid the frenzy.”
Hotspotting general manager Tim Graham highlighted that the market resurgence in parts of Sydney and Regional New South Wales began last year.
“In fact, we believe the top supercharged suburb in the nation is currently Surry Hills in Sydney City, which is indicative of a number of key trends in Australian real estate,” Graham said.
Contrary to the negative market narrative about Melbourne, the Victorian capital has several suburbs with rising sales activity and plenty of upside potential, including Deer Park.
“The Melbourne market is poised for better price growth in 2024 than the previous two years,” Ryder said.
Adelaide and Regional South Australia continue to be two of the nation’s most promising markets.
“Adelaide sales activity is 8% higher than a year earlier, despite a 12% annual decline in listings of properties for sale,” Graham said. “Generally, the Adelaide market is displaying the consistency that has made it a national leader on price growth.”
See images below for the complete list of Hotspotting’s supercharged suburbs.
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