Australia's most sought-after suburbs: Where buyer demand has gone through the roof
Daniel Butkovich, Property Journalist
First published 15 November 2023, 11:34 AM
Last updated 21 November 2023, 08:39 AM
Analysis of PropTrack data has shown demand has surged in many suburbs, despite high interest rates and rising property prices making it more challenging to buy a home.
Use the interactive below to see how in-demand your suburb is.
Measuring key enquiries per listing on realestate.com.au – which combines high-intent actions such as emailing an enquiry, calling the agent or downloading documents – can reveal how in-demand a suburb is with buyers.
PropTrack senior economist Paul Ryan said tracking enquiries can show the level of demand from buyers at the later stages of their property purchasing journey, who are more likely to enquire about properties for sale.
“We think of it as a leading indicator of market activity, and higher demand in general we know is associated with higher prices,” he said.
“It tends to be serious buyers, so it's a good indication of how much competition there is for property.”
A number of factors have fuelled demand for property this year, including rapid population growth amid a slowdown in new home construction, as well as a tight rental market, which Mr Ryan said had pushed some people towards purchasing property.
“Housing costs are going up, but for some it makes sense to jump into home ownership,” he said.
A shortage of properties for sale earlier in the year had focused buyer demand on the available properties, Mr Ryan said, which has been a key factor driving price growth in many markets.
But rising listing volumes during spring were helping to moderate demand, easing conditions a little for buyers.
“We have seen price growth slow a little bit, and auction clearance rates decline a little. Both have continued to be solid, but slower than towards the middle of the year.”
“That's consistent with more supply coming on the market and a bit more balance to demand and supply.”
The suburbs where buyer demand is highest
Suburbs of Sydney and Brisbane dominated the list of the most in-demand suburbs, which Mr Ryan said reflected the correlation between prices and demand.
“Both cities have seen prices increase by more than 7% this year so far,” he said.
The data shows that buyers are seeking space and affordability, with high demand in suburbs at the fringes of cities offering large properties, entry-level price points, or both.
The suburb with the most enquiries per listing is Holgate on the NSW Central Coast. There are only 313 homes in Holgate, according to the last census, most of which are large homes set on big blocks surrounded by bushland, and only eight were listed for sale on realestate.com.au at the time of publication.
Enquiry data shows suburbs with expansive leafy properties are in high demand. Holgate on the NSW Central Coast had 95 enquiries per listing – more than any other Australian suburb. This six-bedroom Holgate home on five acres of land is on the market now. Picture: realestate.com.au/buy
Adrienn Stenner of Prestige Properties said buyers were drawn to the space, privacy and convenience offered by properties in Holgate, which is minutes from shops, schools and beaches, as well as neighbouring Matcham and Wamberal, which also ranked highly for enquiries per listing.
“I get a lot of beachside people and young families moving to acreages,” she said. “I also get quite a few coming off big farms to five acre lots, downsizing but still wanting a rural property for the space and privacy.”
Demand from buyers was consistently strong, Ms Stenner said, especially considering few properties came on the market each year and most buyers stayed for decades.
“I’ve got five on the market, and the owners have all been there for more than 15 years,” she said. “One has been there for 40 years, another for 30 years. They’re very tightly held.”
There were more enquiries per listing in Packenham Upper than any other Victorian suburb. This five acre Packenham Upper property is on the market for $1.4 to $1.54 million. Picture: realestate.com.au/buy
Chandler, in Brisbane’s southeast, has the second-highest enquiries per listing in Australia. The suburb is less than half an hour from the Brisbane CBD, yet offers large homes on acreages, which Storia Estate Groups director Joseph Lordi said was the key drawcard for buyers.
"You can get a 2.5 acre block, a nice big property, but you’ve still got easy access to the city and the bays as well," he said.
Brisbane buyers are seeking big properties with good access to amenities, data shows. This sprawling five-bedroom Chandler house on acres features a large swimming pool and a tennis court. Picture: realestate.com.au/buy
In Brisbane, leafy and spacious suburbs in the south, such as Burbank, Forestdale and Kingsholme topped the list for enquiries per listing.
“Space is more in-demand than ever,” Mr Lordi said. “A lot of people are working from home a couple of days a week and don't need to be as close to the city any more, so they're looking for that lifestyle property.”
Demand surges in affordable suburbs
High numbers of enquiries in suburbs further from city centres reflected not only the desire for more space amid changed working trends, but also worsening affordability as interest rates and property prices rose, Mr Ryan said.
“Affordability has been very stretched by higher interest rates, so people are altering what they’re looking for and searching for properties a little further out," he said.
Affordably-priced homes on Melbourne's fringes, like this four-bedroom Craigieburn house, receive dozens of enquiries, according to the latest data. Picture: realestate.com.au/buy
In Melbourne, all of the top 50 suburbs with the most enquiries per listing were towards the city’s fringe, except Toorak, which is the priciest suburb in the city. Most had a median house price of less than the city-wide median of $924,000.
Pakenham Upper, Belgrave and Selby in the outer east had the most enquiries per listing, consistent with the trend towards large, leafy properties seen in other cities, but more affordable suburbs like Craigieburn, Coolaroo and Meadow Heights had similar levels of demand.
The trend towards affordable suburbs is even clearer when looking at the suburbs where demand has increased the most over the past year.
In Sydney, many suburbs offering relative affordability had big increases in enquiries per listing, including Yennora, Eastlakes and Bardwell Valley, where houses are cheaper than in surrounding suburbs.
Enquiries jumped in Eastlakes, where homes are a little less expensive than neighbouring Rosebery, Pagewood and Kingsford. This two-bedroom house sold for $1.54 million in June. Picture: realestate.com.au/sold
Demand for units in Holroyd, Greystanes and Pendle Hill surged over the past year, with these suburbs offering affordable apartments, villas and townhouses with good transport connectivity close to the Parramatta CBD.
Enquiries jumped in suburbs in Perth's southeast, including Kelmscott and Canning Vale for units, and Armadale and Camillo for houses.
Most Melbourne suburbs where enquiries per listing for units increased the most, such as Campbellfield, Beaconsfield and Travancore, had median sale prices that were lower than the city-wide median of $626,000, the data shows.
Demand for units jumped 67% in Travancore, where prices are typically more affordable. This two-bedroom Travancore apartment is advertised for $620,000 to $680,000. Picture: realestate.com.au/buy
Mr Ryan said higher interest rates had prompted buyers to broaden their search grid to lesser known suburbs where homes were a little cheaper.
"A lot of people are spreading out where they would traditionally look for homes given the challenging affordability conditions," he said.
Buyers seek out hidden gems in exclusive pockets
It’s not just suburbs with spacious homes or affordable prices that are drawing the most buyers. Demand is also high for homes in exclusive enclaves where homes sell for a premium, the data shows.
Homes in many of Sydney's most sought-after suburbs often feature spectacular water views, like this waterfront Yowie Bay home. Picture: realestate.com.au/buy
In Sydney, homes attract scores of enquiries in the waterfront suburbs of Chiswick, Wareemba and Tennyson Point on the Parramatta River, as well as Woronora, Yowie Bay, Sandringham in the south.
Tightly-held suburbs like Chiswick — where enquiries have more than doubled in the past year — were less known than surrounding suburbs, according to local real estate agent Joseph Tropiano of Stone Real Estate, but had become more popular with buyers drawn to the lifestyle, convenience and diversity of housing options.
Enquiries per listing surged more in Chiswick than in any other Sydney suburb. This five-bedroom Chiswick home recently sold for almost $5.1 million. Picture: realestate.com.au/sold
"It’s an area that’s secluded yet still has great access to the city and the lower north shore," he said. "House availability is rare as people don’t really move much."
Premium suburbs like Longueville, Gordon and Pymble in Sydney's north, Vaucluse, Rose Bay and Double Bay in the east and Connells Point and Kangaroo Point in the south all had high numbers of enquiries per listing.
Homes in Pymble, like this 1378sqm property, typically had 48 enquiries per listing, more than double the national average of 19. This Picture: realestate.com.au
High levels of demand in pricey suburbs over the past year was correlated with price growth, Mr Ryan said, with the top end of the market leading the recovery.
St Kilda had the biggest increase in enquiries per listing in Victoria for houses. This four-bedroom St Kilda house is going to auction in early December. Picture: realestate.com.au/buy
"High priced parts of the country have performed very well, which is in stark contrast to 2022 when we saw higher priced regions leading price falls," he said.
"There has been a big rebound in a lot of these markets and these demand stats show that as well."
Originally published at: https://www.realestate.com.au/news/australias-most-sought-after-suburbs-where-buyer-demand-has-gone-through-the-roof/
