Oatley Property Market Update 1st Half of 2022
In Q1 2022, Oatley recorded a median house price of $1,833,250, and a median unit price of $764,000. This represents annual (Q1 2021 – Q1 2022) median price growth of 18.5% for houses and 3.9% for units. Total sales decreased between Q1 2021 – Q1 2022, by -23.7% (to 74 sales) for houses and by -10.9% for units (to 41 sales). The Oatley market is undersupplied, as median price growth is alongside lower sales. Now is the time for owner-occupiers and downsizers to capitalise on their investments. There is also a growing opportunity for developers able to offer ready-to-sell stock.
Average vendor discounts between Q1 2021 and Q1 2022 have swung to an even higher premium for houses, rapidly shifting from 4.8% to 8.8%. Units have experienced a swing to a discount, of -2.7%, which does create an opportunity for buyers. That said the average vendor discount trend for units show that any discount is temporary, with most quarters recording a premium.
House rental yields in Oatley was recorded at 1.8% in March 2022. This might be slightly lower than Sydney Metro (2.3%), however investors can still benefit from an annual (Q1 2021 – Q1 2022) median house rental price growth of 17.1%, now at $700 per week. The number of houses rented has declined by -2.5% during this time, indicating an undersupply of rental houses. This suggests that even if investors must pay a slightly higher price for their property, rental demand will assist in offsetting the acquisition cost.
3 bedroom houses have provided investors with +10.9% rental growth annually, achieving a median rent of $630 per week.
Oatley recorded a vacancy rate of 1.9% in March 2022, Vacancy rates in Oatley have declined significantly over the past 12 months, crossing underneath the Real Estate Institute of Australia’s healthy benchmark of 3.0%. This confirms there is still a healthy rental demand and investors can be confident of a conducive investment environment in Oatley.
