Dapto Market Update 1st Half of 2020

In Q1 2020, Dapto recorded a median house price of $610,000, and a median unit price of $518,000. This represents annual (Q1 2019 – Q1 2020) median price growth of 6.1% for houses and of 3.6% for units. Between Q1 2019 – Q1 2020 total house sales increased by 7.5% to 100 sales, while unit sales declined by -34.8% to 15 sales. These indicators suggest there is a real increase in capital growth in the Dapto house market, as the price increase was not due to a decline in stock, creating further confidence in the market.

Average vendor discounts between Q1 2019 and Q1 2020 have tightened for both property types, to -2.4% for houses and -5.7% for units. Both buyers and vendors benefit, with vendors achieving closer to their initial listing price but still willing to offer buyers a discount. Now is the time to enter the market.

Over the past 12 months, house rental yields in Dapto remained steady, to sit at 3.7% in December 2019. This suggests the house rental market is in a healthy position, particularly when combined with the increased demand for rental properties across the same time period (up by 24.5% in the 12 months to Q1 2020).

4+ bedroom houses have provided investors with +3.6% rental growth annually, achieving a median rent of $490 per week.

Dapto recorded a vacancy rate of 1.8% in December 2019, which despite representing an increasing trend is still well below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, and is significantly below Sydney Metro’s 3.6%. This confirms there is a healthier rental demand in Dapto, and with a lower median entry sale price compared to Sydney Metro, makes it an affordable investment alternative.