Liverpool 2H Property Market Update 2nd Half 2024
Liverpool is a vibrant suburb located 31 kilometres south-west of Sydney in the City of Liverpool LGA and is known for its cultural diversity and rich history. Liverpool is home to a mix of residential, commercial and industrial zones and with a variety of amenities including Westfield Liverpool and an abundance of transport, it is an ideal location.
Property Trends
In Q3 2024, Liverpool recorded a median house price of $1,105,000, and a median unit price of $540,000. This represents annual (Q3 2023 – Q3 2024) median price growth of 13.0% for houses and a minor price softening of -4.4% for units. Comparing Q3 2023 – Q3 2024, total houses sales declined by -9.4% (to 615 sales in Q3 2024) but increased by 15.9% for units (to 387 sales in Q3 2024). The house market in Liverpool is undersupplied, which created a buffer against higher interest rates – hence price growth. Now is an ideal time for house owners to capitalise on their investment. The higher house price has led to an increase in unit sales, however, not enough to spur a price growth. This creates an opportunity for first home buyers.
Project Development
Liverpool will see approximately $9.0B of new projects commencing construction in 2024. The main development is the Western Sydney Aerotropolis – Bradfield ($8.0B). There will be 404 units, 222 townhouses, 94 dwellings and 1,358 land lots planned to commence construction in 2024. This will add much needed supply to Liverpool.
Rental Market & Growth
House rental yields in Liverpool was 3.4% in September 2024, slightly higher than the Liverpool LGA (3.2%) and Sydney Metro (2.8%). This was paired with a 7.1% increase in median house price in the past 12 months to Q3 2024, at $750 per week. The number of houses rented grew by 60.4% in the past 12 months, to 1525 rentals in Q3 2024. The same pattern, of higher rent and higher properties rented, can be seen in the unit rental market. This is good news for investors.
Vacancy Rates & Property Investment
Liverpool recorded a vacancy rate of 1.1% in September 2024, slightly above Liverpool LGA’s 0.8% average, but below Sydney Metro’s 1.6% average. Vacancy rates in Liverpool increased slightly in the past 12 months, due to investors re-entering the market. That said, a 1.1% vacancy rate is significanty below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, which suggests quicker occupancy of rental homes in Liverpool. This creates an attractive and sustainable investment environment for investors, even with a higher entry price in Q3 2024.
