Albury Property Market Update 2nd Half 2024
Albury, located in New South Wales, offers affordable housing, quality education, excellent healthcare facilities, and a beautiful natural environment, making it an appealing place to live.
Property Trends
In Q2 2024, Albury recorded a median house price of $575,000 and a median land price of $425,000. This represents annual (Q2 2023 – Q2 2024) growth of 1.8% for houses and 58.3% for vacant land. Comparing Q2 2023 vs Q2 2024 house sales has increased, by 6.3% (to 269 sales in Q2 2024), while vacant land sales declined by -68.3% (to only 19 sales in Q2 2024). There is strong demand for houses and a clear undersupply of land, which has created a buffer against higher interest rates – hence price growth for both houses and land. The Albury market is on a price growth trajectory, thus an ideal opportunity for owners to capitalise on their investments.
Project Development
Albury is set to see approximately $630.2M worth of new projects commencing in the 2nd half of 2024. The sole addition to housing stock will be delivered by 470 Wodonga Place & Smollett Street Mixed Use project ($39.2M), adding 25 apartments. The absence in new ready-to-sell stand-alone dwellings or townhouses suggest an undersupply is possible, as houses were highly demanded in Q2 2024. This will push up prices, for houses and other stock types.
Rental Market & Growth
House rental yields in Albury were 3.8% as of June 2024, higher than Sydney Metro (2.8%). This was paired with a 25.0% surge in median house rental price in the past 12 months, currently at $540 per week in Q2 2024. Between Q2 2023 vs Q2 2024 the number of houses rented declined by -25.0%, to its lowest level of 15 rentals in Q2 2024. This suggests an undersupplied and tight rental market, which is good news for investors.
Vacancy Rates & Property Investment
Albury recorded a vacancy rate of 1.2% in June 2024, on par with the Albury LGA’s 1.1% average but below Sydney Metro’s 1.7%. Vacancy rates decreased during the past 12 months in Albury, even with slight fluctuations due to investors entering/exiting the market. Further, a 1.2% figure is well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, suggesting quicker occupancy of rental properties. This indicates a conducive environment for investors, despite the increase in median house sale prices in the past 12 months to Q2 2024.
