Sydney property market: Booming prices pushing interest north into Central Coast areas
CLARE GRAHAM, THE DAILY TELEGRAPH, AUGUST 08, 2015 12:00AM
Sydneysiders have been heading there in search of cheaper property for decades but the latest real estate boom is creating a whole new wave of interest in the NSW Central Coast.
As Sydney’s median house price hits $900,000, buyers from all walks of life are being lured an hour up the coast by a much more affordable beachside lifestyle at just over half the price.
Property hunters can expect to pay around $460,000 across the area while 22 suburbs currently offer a median house price under $400,000, according to latest figures from Core Logic RP Data.
The price gap was even greater before the surge of savvy investors and struggling first-time buyers started to look for regional bargains.
In the past 12 months alone, about 40 new suburb records have been smashed on the coast, with most buyers behind each sale coming from out of the area.
But despite the region’s real estate prices reaching ¬record highs, Sydney property hunters continue to see big potential and great value for money.
“A lot of people have holidayed up here with their families so know the area quite well already.”
Strong capital growth potential and rent returns ¬averaging five per cent are enticing investors in droves.
Raine & Horne Charmhaven principal Andrew ¬Sorensen said his office is selling around 80 per cent of properties to out-of-area investors, mainly from Sydney.
“Familiarity and proximity to Sydney makes investing on the coast a good choice,” Mr Sorensen said.
“A lot of people have holidayed up here with their families so know the area quite well already.
What we’re seeing is ¬investors coming out of Sydney with this massive chunk of equity and they’re using that to buy into our rental scene.”
For first-time buyer Lindy Chu, investing in a unit in Gosford was the only way she could get her foot on the property ladder after realising she was priced out of Sydney.
But while most are choosing to invest, many are willing to relocate for a more relaxed and affordable lifestyle, even if it means commuting back to the city for work.
