The top suburbs to invest in Sydney and NSW is often a subject that can be polarizing. So many factors make up a perfectly liveable suburb, and consideration should be paid to things like proximity to lifestyle opportunities, shops, public transport, education and more. Moreover, what makes a strong investment are things like affordability, rental yields and capital growth.
Since 2020, there has been an annual growth of shift from buying in or around Sydney CBD and a move to the more alluring suburban areas.
We’ve rounded up 5 of the best (and we know there are many more, so here are just a few of our favourites!) suburbs to invest in and around Sydney.
An expanding hub of commercial, retail and transport, Chatswood is located just 10km from Sydney CBD in the City of Willoughby. From its bustling city-like atmosphere to its quiet streets, locals and visitors alike enjoy the best of both worlds that Chatswood has to offer.
Chatswood’s median home price sits at $2,200,000, and the average rent at $950, which suggests property owners could potentially earn a 2.25% increase in gross rental yield.
Property investors have seen a 4.76% gain in Chatswood based on an increase in median home prices for the past three months. Investors have long considered Chatswood a smart choice, and a recent development that is attracting investors and owners alike is The Bryson, a 70-apartment, 24-level residential and commercial tower designed by Make Architects.
One of the first approved developments under the Chatswood CBD Planning and Urban Design Strategy, The Bryson will incorporate a mix of 1, 2 and 3-bedroom apartments, including exclusive Skyhomes and penthouse residences each with open plan living spaces, expansive balconies, textural materials and expansive greenery.
A pool terrace complete with rooftop gardens, outdoor furniture, barbecue facilities and sweeping views across the surrounding Chatswood CBD enhances the feel of an urban resort to draw residents and visitors alike.
With 1-bedroom apartments priced from $865,000, buyers can purchase an investment property in The Bryson from just $860 per week over 89 weeks.
Centrally located and with a diverse mix of people, industry and commerce, Waterloo is fairly well-balanced with its’ connectivity and proximity to Sydney city a major plus, and its newly created parks and open spaces make it a strong lifestyle choice.
Waterloo ranks 71st in NSW when it comes to estimated capital gains experienced by property investors over the past three years, and it has a capital gain of 1.69% for the past year.
With the median home price in Waterloo sitting at $900,000, and the average rent at $660, property owners could potentially earn a 3.81% increase in gross rental yield.
When looking at investment properties in the Waterloo area, consider The Botany by HYG, a breathtaking architecturally designed 136-apartment development comprising of two 7-storey buildings.
The apartments are in close proximity to Sydney’s Supa Centre, Centennial Park, the Entertainment Quarter and Sydney Girls High School.
The Botany’s 1, 2 and 3-bedroom apartments are encompassed within a warm white facade that meets natural wooden touches and a dash of greenery for the cosmopolitan city dweller’s ultimate block of apartments in Waterloo. This popular inner-city suburb draws you in with its hip bars, trendy cafes and lively local pubs.
Priced from just $718,000 to $1,667,000, buyers can purchase a home within The Botany with Coposit from $538 per week over 115 weeks.
Another incredible yet little-known pocket of Sydney is Norwest, a great suburb close to lakes, businesses, new schools and shopping. It’s a quiet area yet well located to major arterial motorways and public transport.
Median property prices over the last year range from $1,120,000 for apartments, and if you’re looking for an investment property, consider the fact that apartments in Norwest rent for $600 per week, with a rental yield of 3.5%. Based on five years of sales, Norwest has seen a compound growth rate of 0.9% for apartments.
With returns like this, it’s easy to see why Norwest is a smart choice for investors looking to get a foot on the off-the-plan ladder. Norwest Quarter is a bold mixed-use masterplan and a ground-breaking model for neighbourhoods. This superbly accessible new neighbourhood is located in Sydney’s Hills Shire within 750m of the Norwest Metro Station.
Delivered by Mulpha, Norwest Quarter offers hassle-free sustainable living with 100% electric apartments. Inclusions offered are things like EV car chargers, solar rooftops, high performance insulation, energy-efficient double glazing, rainwater storage and more.
Residents will enjoy a podium level pool, lounges and function rooms, bookable work-from-home spaces, sun-drenched gardens and library lobbies.
With 1-bedroom apartments priced from just $615,000, buyers can own sooner with Coposit from $599 per week over 86 weeks.
A centre of major industrial and residential change, the leafy suburb of Castle Hill sits 30km northwest of Sydney’s CBD in The Hills district. With spacious homes and quiet streets, it’s easy to see why the suburb has long been favoured by growing families and young professionals.
The median property price in Castle Hill over the last year for apartments was $925,000, and apartments rent for $600 per week, with a rental yield of 3.4%. Based on five years of sales, Castle Hill has seen a compound growth rate of 0.3%.
A survey of average capital gains increases shows that Castle Hill has obtained 6.37% growth over a ten-year period.
With substantial forecasted population growth, and the new North West Metro, Castle Hill is becoming a sought-after, affordable destination suburb. Offering genuine value compared to more established apartment markets like St Leonards and Macquarie Park, it is attracting first home buyers, investors, downsizers and upsizers alike.
Due for completion early 2024, Grand Reve, developed by Kassis Homes, has been billed as the most prestigious development ever offered in the Hills District, and is another strong investment choice in Castle Hill.
With a collection of studio, 1, 2 and 3 bedroom apartments, including split-level townhouse-style dwellings, with 37 floorplan configurations to choose from – there’s something for everyone at Grand Reve.
Situated in a cul-de-sac location just 350m from the Metro and 200m from Castle Towers, the development boasts high-end fittings and fixtures at an exceptionally affordable price point. Kitchens boast stone benches, curved joinery and Wolf appliances, and bathrooms have stone benches, brass fixtures, rain shower heads and storage.
With apartments priced from $570,000 to $1,710,000, buyers can own an apartment within Grand Reve from just $735 per week over 64 weeks.
Nestled on the sun-drenched eastern coastline of NSW, just over two hours north of Sydney, Newcastle is a vibrant city bursting with things to do, places to stay and fun to be had. Spectacular beaches and coastal scenery, with ocean baths and some of the country’s best surfing spots, are only just the start.
The median property price for an apartment in Newcastle is $635,000, with annual capital growth of 3.25%. The median sold price for apartments over the last year was $652,500, and apartments in Newcastle West rent out for $560 per week, with an annual rental yield of 4.4%. Based on five years of sales, Newcastle West has seen a compound growth rate of 6.1% for apartments.
Vacancy rates in Newcastle have held relatively steady over the 12 months, and trending within the 1.5% mark for the past 24 months. This indicates strong rental demand coupled with limited supply in the market. If you’re an investor looking to begin your off-the-plan journey, consider the solid performance of the Newcastle market.
Renowned developers Thirdi Group are one of the first to significantly look at redeveloping the area, and their project Dairy Farmers Towers marks the rebirth of one of Newcastle’s most iconic locations.
Including 184 residences built over 5 floors of enterprising commercial and retail spaces with some of the best views of Newcastle, Dairy Farmers Towers apartments will be situated in one of two architecturally designed towers that will become a new landmark amongst Newcastle’s city skyline.
Apartments at Dairy Farmers Towers are priced from $753,000, and are available with Coposit from $961 per week over 68 weeks.
With Coposit, buyers can kick the first goal now and keep kicking them all the way into their home. We fast-track ownership by allowing you to own an off-the-plan property for just $10,000 and pay the deposit in interest-free instalments.
This is why it pays to be smarter: with the first deposit and with no fees at all to pay, buyers can secure a property with Coposit, then pay down the deposit in weekly instalments, (we call these “coposits”) until it’s built.
To discover more about the incredible Coposit opportunities available, click here.