Finding a place in the right location that’s within budget can be hard. Up-and-coming suburbs can often offer similar amenities at a more affordable price point.
Buying a home, particularly the first one, is often about compromising. Even then, finding a place in the right location that’s within budget can be hard.
For buyers struggling with this dilemma, up-and-coming suburbs can often offer similar amenities at a more affordable price point.
New realestate.com.au data reveals the comparably cheaper areas located near the most sought-after suburb in each capital city.
Changes in demographics in a relatively cheap neighbourhood is usually one of the first signs an area is up-and-coming, according to realestate.com.au Chief Economist Nerida Conisbee.
“These are generally suburbs that attract a lot of first home buyers and they’re not suburbs that are new suburbs.
“If the area has a lot of old homes and there are a lot of old people living there, and then you start to see a lot of young people moving in, then you can generally see that it will probably become up-and-coming,” she says.
Conisbee says the change in suburbs isn’t linear and doesn’t happen in the same way for each area.
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Fringe suburbs at the edge of a city popular with buyers of house and land packages will not be up-and-coming neighbourhoods in the same way that inner-city suburbs can be, due to differences in things like infrastructure.
“Generally the places that are most desirable have good public transport and for up-and-coming suburbs that gentrify, you tend to find that they have pretty good public transport links,” she says.
For buyers looking to pick the right up-and-coming area, an element of compromise is required.
“The housing stock is often very different, so the houses may not be as nice or you’re often further away from something people desire such as a beach, a really good shopping precinct, a train line, a good park or school.
“You may be closer to something people don’t like such as a large freeway or a very busy road or there may be something that’s a bit unattractive about the area.
“So you have to look at ‘what could I live with?’ for a start. Are you prepared to live near a busy road or further from the beach, and can you improve the home – versus things you can’t change, like the fact that it’s near a main road or away from a train station? These are the sorts of considerations I’d be thinking about,” she says.
Picture: Mudassir Ali
The northern beaches suburb of Allambie Heights – where the median house price is $1,515,000 – is the most in-demand suburb in the Harbour City. Given it’s located just 17.5kms from the CBD and it is close to the water, this suburb has plenty to offer.
Those looking for a more affordable suburb nearby could try Narraweena, which is just 7kms further on and has a median house price of $1,330,000. Properties in Narraweena currently attract around 9,762 views per listing on realestate.com.au compared to 9,544 views for Allambie Heights.
The other option is Forestville, which is about 6kms closer to city than Allambie Heights and has a median price of $1,398,000.
Picture: Weyne Yew
Located in the leafy eastern suburbs, Watsonia is the most in-demand area in Melbourne attracting 9,392 visits per listing on realestate.com.au.
The median house price in this neighbourhood is $720,000 and with plenty of parks and education options plus a train station, it’s easy to see why this area appeals to young families.
Around 4kms closer to the city is Bundoora, where the median house price is $680,000 and listings attract 4,375 views on realestate.com.au. This area is home to several university campuses plus it has tram and bus links into town, but no direct train.
Over in nearby Watsonia North where the median price is $705,000 each property in this area attracts around 3,551 views per listing. The key compromise here may well be public transport links as there are buses, but no direct train lines.
Crafers West in the Adelaide Hills, where the median house price is $720,000 is the city’s most sought-after area attracting 8,200 views per listing on realestate.com.au.
Nearby Upper Sturt in the Mount Lofty Ranges attracts 9,153 views per listing and the median house price in that area is a lot cheaper at just $540,00.
While over in Hawthorndene demand is a bit lower at 5,446 views per listing but the median house price is $546,500.
Picture: Brisbane Local Marketing
Wilston is Brisbane’s most sought-after suburb and it’s just under 4kms from the CBD and includes parks plus the riverside lifestyle. The median house price in this area is $887,500 and listings attract an average of 3,665 views.
In neighbouring Windsor, where the median house price is $870,000, listings attract 4,511 views apiece. This area is popular with families and young professionals alike due to the recreation facilities and it is near great cafes and shops.
While in Newmarket, which has plenty of great cafes, listings attract 4,270 views and the median house price is also $870,000.
Picture: Josh Spires
Floreat is Perth’s most in-demand suburb and properties here attract 2,672 views per listing on realestate.com.au for an area with a median house price of $1,245,000.
Just under 6kms away in Shenton Park, the median house price is $1,123,500 and listings attract 2,815 views apiece. This area also has plenty of parks, good transport links and heritage homes at a relatively cheaper suburb median price.
When it comes to houses in the NT, Nightcliff is Darwin’s most in-demand suburb and the popular waterfront area attracts 1,599 visits per property with a median price of $602,500.
South Hobart is the most in-demand area in Hobart and it attracts 5,903 views per listing on realestate.com.au and has a median price of $675,250.
While less than 4kms away in North Hobart listings attract 4,261 views a pop and the area and has a median house price of $640,000.
To meet the data requirements, each area had to have at least four sales per month for the six months up to the end of September 2019.
Suburbs were then filtered by metropolitan areas with the top suburb for each state identified as the neighbourhood with the highest average number of views per property on realesate.com.au for that time frame.
The up-and-coming suburbs are defined as those areas with similar levels of demand, but a lower median house price located close to the top suburb for each city.
Originally published on realestate.com.au as https://www.realestate.com.au/news/how-to-pick-the-right-up-and-coming-suburb-for-you/.