Dapto Property Market Update 2nd Half 2024
Dapto is a suburb located in the Illawarra region of New South Wales. It is part of the City of Wollongong and is situated approximately 15 kilometres southwest of Wollongong. It is known for its scenic beauty and is very community oriented. Dapto is home to many amenities and offers a mix of residential, commercial and recreational areas. This combined with its beautiful location makes Dapto an ideal location.
Property Trends
In Q3 2024, Dapto recorded a median house price of $862,500, and a median unit price of $740,000. This is an annual (Q3 2023 – Q3 2024) price growth of 12.2% for houses and 13.8% for units. Comparing Q3 2023 – Q3 2024, sales increased by 2.8% for houses (to 147 sales in Q3 2024) and by 13.8% for units (to 24 sales in Q3 2024). This suggests properties are in high demand in Dapto, and the market is seeing growth in both price and sales volume. Therefore, now is an ideal time for owners to capitalise on their investments, and buyers should act fast before there is further price growth.
Project Development
Dapto will see approximately $430.0M of new projects commencing construction between 2024 and 2025. The majority of these are residential projects including 200, 220, 240 & 30 Marshall Mount Road Residential Subdivision Stage 1 – Woodville (149 Residential Subdivision Lots), 164 Yallah Road Residential Subdivision (204 Lots) and Lot 501 Tharawal Drive Dwellings (50 Dwelling). With limited ready-to-go stock coming on to the market, this will continue to put pressure on the residential market.
Rental Market & Growth
House rental yields in Dapto was 3.5% in September 2024, slightly above Sydney Metro (2.8%). This was paired with a 5.7% increase in median house price in the past 12 months to Q3 2024, at $645 per week. The number of houses rented also increased, by 4.7% in the past 12 months, to 90 rentals in Q3 2024. This is also reflected in the unit market which has had a 5.6% increase in the median rent (to $570 per week). The number of units rented increased by 21.6% to 45 rentals in Q3 2024. This shows there is strong demand for all rental properties in Dapto.
Vacancy Rates & Property Investment
Dapto recorded a vacancy rate of 0.4% in September 2024, well below the Wollongong LGA’s (1.1%) and Sydney Metro’s 1.6% average. Vacancy rates in Dapto decreased slightly in the past 12 months, signalling an even tighter rental market. Furthermore, a 0.4% vacancy rate is well below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, suggesting quicker occupancy of rental homes in Dapto. This confirms there is a conducive environment for investors.
