HOME PRICES IN THESE AREAS HAVE GROWN MORE THAN $2000 A DAY DESPITE THE REST OF SYDNEY’S PROPERTY MARKET TURNING ICE COLD, WRITES AIDAN DEVINE
Home prices in pockets of Sydney’s far west have been growing at more than $2000 a day despite the rest of the city’s real estate market turning ice cold.
The latest housing market figures show the west has been insulated from the slowdown in much of Sydney due to the planned Badgerys Creek airport and a record pipeline of infrastructure projects, including the delivery of a $7 billion north-south rail link from St Marys to the airport site.
The raft of improvements have been attracting throngs of investors and owner occupier buyers to the area, creating stiff competition for the limited supply of housing available.
This has forced prices up at a pace not seen since Sydney real estate boomed between 2013 and 2016.
The most noticeable price increases occurred in the suburbs of Rossmore, Glenorie, Mulgoa and Bringelly, which are all in the vicinity of Badgerys Creek.
Median prices in these suburbs jumped by up to $975,000 over the past year, often from already high starting points. A typical Rossmore house was $2.46 million last year but is now $3.43 million, according to Realestate.com.au and CoreLogic data.
The dramatic increases meant the typical value of a property increased by $2671 for every day of the year.
Glenorie houses were typically $1,362,500 last year but have since grown to $1.875 million — a $1404 jump in prices for each day of the year.
Bringelly prices went up by an average of $2075 per day, going from a median of $2.05 million last year to the current $2.8 million.
In Mulgoa, just south of Penrith, the median went from $1.06 million to $1.44 million.
The typical value of the average Sydney home, by contrast, dropped 2.4 per cent over the same period.
The Sydney-wide price falls followed a 25.4 per cent drop in the number of people actively looking for homes to buy, along with a 23 per cent spike in the number of homeowners listing their properties up for sale.
Western Sydney’s defiance of the citywide slowdown has not gone unnoticed by local homeowners. Paul and Jocelyn Zakostelesky moved into their Glenmore Park home in the Mulgoa Rise estate five years ago and said their latest valuation showed it was worth more than double what they paid. “It was a pleasant surprise,” Mrs Zakostelesky said. “I feel like we benefited by buying here before a lot of other buyers came to the area.”
Realestate.com.au chief economist Nerida Conisbee said the rises in far west home values were typical for areas where major infrastructure announcements had been made.
The announcements tended to encourage builders and potential investors to seize up greenfield development sites and houses on large blocks, she said.
“There was a similar pattern in areas like Kellyville a few years ago when the (Sydney Metro Norwest) line was announced and prices shot up,” Ms Conisbee said.