Bexley North Property Market Update 2nd Half of 2022
In Q3 2022, Bexley North recorded a median house price of $1,445,000 and a median unit price of $771,000. This represents annual (Q3 2021 – Q3 2022) median price softening of -11.9% for houses. Total house sales increased by 42.5% (to 57 sales) annually but softened by -9.5% over the 6-month period to Q3 2022, recording 57 sales. Despite this median house price growth slowed, reflecting interest rate hikes translating into the market. Slower growth is also evident for units, with an annual (Q3 2021 – Q3 2022) median price growth of 25.4% but a quarter-by-quarter (Q2 2022 – Q3 2022) growth of 16.8%.
Average vendor discounts between Q3 2021 and Q3 2022 have rapidly swung to a discount for both property types, of -1.8% for houses and -2.7% for units. This is a in contrast compared to 6 and 12 months prior, when a premium was the market norm. Market conditions in Bexley North have now shifted to favour buyers, as vendors are willing to accept below the first listing price.
In September 2022, house rental yields in Bexley North were recorded at 2.3%. In the 12 months to Q3 2022, median house rental price grew significantly, by 22.5% to reach $735 per week. In this time the number of houses rented grew by 36.5% and average days to let declined -19.2%. The same pattern is evident in the unit rental market, indicating high demand.
4+ bedroom houses provided investors with +14.9% rental growth annually, recording a median rent of $862 per week.
Bexley North recorded a vacancy rate of 1.0% in September 2022, which is slightly below Sydney Metro’s 1.3% average. Vacancy rates in Bexley North is currently at the lowest point since 2017, after being on a declining trajectory since early 2022. This indicates quicker occupancy of rental properties. Further, vacancy rates in Bexley North have remained well below the Real Estate Institute of Australia's healthy benchmark of 3.0% for the past 14 months. Investors can be confident of a conducive investment environment in the area, particularly with the median house price downturn in the past quarter.
