Bungendore Property Market Update 1st Half 2025
Bungendore is a charming town located in southwest New South Wales, about 30 kilometres east of Canberra. It is known for picturesque streets lined with historic homes and offers a blend of country charm and modern amenities. With rural surroundings but only a shot drive to the nation’s capital, Bungendore is an ideal family location.
Property Trends
In Q4 2024, Bungendore recorded a median house price of $1,077,500 and a median vacant land price of $429,000. This represents annual (Q4 2023 - Q4 2024) price growth of 6.4% for houses and a softening of -24.4% for vacant land. Comparing Q4 2023 and Q4 2024, total sales surged by 23.8% (to 26 sales in Q4 2024) for houses and declined significantly to only 4 sales (in Q4 2024) for vacant land. This suggests the Bungendore house market is highly demanded, which created a buffer against higher interest rates (hence price growth). Thus, now is an ideal time for house owners to capitalise on their investments. With very little-ready-to go stock planned for 2025, buyers must act fast.
Project Development
Bungendore will see approx. $35.2M of new projects commencing from 2022-2026. The largest residential project is the Elm Grove Estate project, adding 260 residential lots. 73 Ellendon Street Units (14 Units) is the only ready-to-sell project planned during this time. There is a clear undersupply, which will add pressure to the market and push price up.
Rental Market & Growth
House rental yields in Bungendore was 3.5% as of December 2024, which is slightly below the Queanbeyan-Palerang LGA(3.8%) average but on par with Sydney Metro (3.5%). Median house rental price decreased by -7.0% in the past 12 months to Q4 2024, at $730 per week. This creates an opportunity for renters. That said there is a smaller number of houses available for rent (-5.0% in the past 12 months (to 19 houses in Q4 2024); suggesting room for more investors in the market.
Vacancy Rates & Property Investment
Bungendore recorded a vacancy rate of 2.7% in December 2024, on par with the Queanbeyan-Palerang LGA average of 2.6% but lower than Canberra Metro’s 2.1%. Vacancy rates fluctuated in the past 12 months, but overall showed a declining trend, thus an even tighter rental market. Further, a 2.7% vacancy rate is just below to the Real Estate Institution of Australia’s healthy benchmark of 3.0%, thus a quicker occupancy of rental properties in Bungendore. This creates a conducive environment for investors, even with a higher house price (thus entry price) in the past 12 months in Q4 2024.
