The demand for property has completely shifted out of the big cities over the past year. 2020 and the COVID-19 pandemic saw massive changes to the way many Australians work, especially in major cities like Sydney. Many companies saw how successful their business was when staff had the opportunity to work remotely. As a result, many Aussies are making the decision to move away from the capital cities and over to regional cities and towns across New South Wales.
Whether you’re a first home buyer, property investor or just keen for a change of scenery, keep reading for our predictions on NSW’s top property hotspots for 2021.
This one comes as no surprise — Aussies love it, celebs love it, and so do tourists and backpackers. Byron Bay and its surrounding region is best known for its beaches, lush hinterland and hippy residents that often lead alternative lifestyles.
In recent years, Byron Bay has become one of the most expensive towns to live in in Australia. But, if you have the cash to splash, it can be a great place to purchase an investment property. Given its popularity, you are unlikely to have much trouble finding long term tenants or holiday guests, however you choose to rent out your property.
Don’t forget to check out nearby Broken Head and Lennox Head for similar, but more affordable and slightly less popular beachside destinations. You can expect to see rising property prices in many of these neighbouring towns.
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Once a strictly blue-collar, industrial coal port city, Newcastle has become far more appealing in recent years. Its proximity to Sydney (just a 2 hour drive) and the Hunter Valley wine region has aided in this. Additionally, it’s hard not to be enticed by its quality beaches right in the city centre, as well as its burgeoning foodie culture and historic buildings.
However, if you want to live by the beach, you’re unlikely to encounter a bargain. Sydney-siders hoping to swap the Eastern Suburbs or Northern Beaches for more affordable beach living may not save that much by living in Newcastle. In the beachside suburb of Merewether, the median house price sits at over $1.4 million. Luckily, if you are willing to move a little further west, you can still find some great deals.
As demand increases in Newcastle, potential property investors could expect solid rental yields and low vacancy rates. Home to everyone from university students to retirees, Newcastle has appeal for everyone.
Located perfectly between Sydney and Newcastle, the Central Coast offers easy access to two different cities. Many locals who aren’t working from home commute into Newcastle or Gosford. Plus, if you live on the southern end, a commute into Sydney may still be feasible. It is an area where you can find multi-million dollar waterfront mansions, as well as modest and affordable suburban homes — there’s really something for everyone.
Given its popularity as a tourist destination, property investors might think about letting out their property for short term holiday rentals. Doing this could increase your rental income, but it’s important to follow the government regulations about short term rental properties.
Some of the most popular beachside towns on the Central Coast include:
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Wollongong in many ways is similar to Newcastle. Both have prominent universities and both flank each side of Sydney. This makes it a potentially worthwhile investment property opportunity. You could target your rental property towards university students or professionals leaving Sydney for the more affordable housing options. In central Wollongong, 1 bedroom unit prices sit at around $372,000 and could have great investment returns in the coming years.
While you won’t get the fast-paced urban Sydney lifestyle, you can enjoy the sea breeze and the benefits of a mid-sized city. But, if you do get bored, Sydney can be easily visited by a 1.5 hour drive or train ride. Plus you’ll be surrounded by national parks and unlimited options for day trips.
For those looking to escape to the countryside, the Central West region of New South Wales could be a great option. The region is most famously home to the small city of Orange, as well the regional centres of Bathurst, Parkes, Lithgow and Mudgee. The region frequently experiences snowfall in the winter and cooler weather than the coastal cities.
Orange is renowned for its sophisticated culture, charming appearance and quality foods and wines. It is small enough that you get the small town impression and friendliness, but large enough to experience the city benefits of great food and public amenities.
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The gorgeous inland Southern Highlands region is located just south of Sydney and is known for its cooler climate, picturesque historic towns and rolling green hills. It often receives a light amount of snow in the winter and has a village-like atmosphere, making it perfect for those wanting a taste of the English countryside in Australia.
Housing prices vary substantially, as you can find grand old farms and estates, as well as regular homes on average blocks. Many locals still commute into Sydney, with the Hume Motorway and train line making it relatively easy.
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The information in this post is general in nature and should not be considered personal or financial advice. You should always seek professional advice or assistance before making any financial decisions.
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