Randwick Snapshot: The Trend Toward Houses
Randwick’s increasing popularity is no secret to buyers.
Competition in the area is set to be fierce again this sale season. Here’s your snapshot of the Randwick market and a look at why houses are so in demand across the area.
Randwick by the numbers
According to CoreLogic data, Randwick is home to:
- 29,998 residents, up 8.1% since 2011
- A majority of households made up of couples with children
- An average mortgage of $4,000 per month
realestate.com.au house inspection data reveals that each property for sale in Randwick receives 1,267 visits, making it a high demand market when compared to the NSW average of 846.
What Randwick offers buyers
Randwick’s median sale price has steadily increased over the past four years, moving from just $1.6 million at the start of 2014 to almost $2.5 million in April 2018. One of the strongest factors influencing buyers to focus on Randwick is its access to a wide range of amenities, including:
- the UNSW campus and a range of good primary and high schools for families
- Sydney’s eastern beaches and Centennial Park
- employment hubs like the Prince of Wales, Royal Women’s and Sydney Children’s Hospital and the CBD itself, which will soon be more accessible via the CBD & South East Light Rail.
Why are houses increasingly popular in Randwick?
While Randwick is a relatively challenging market for first time home buyers, many of today’s buyers are focused on the area to make their move from an inner city apartment into a house. For this reason, Randwick is particularly popular with younger families and other buyers looking for the ‘next step’ on the property ladder.
This kind of buyer activity is obvious when we look at the number of sales over the past 12 months by price. Of the 166 sales tracked by CoreLogic, 76% were in the top price bracket of over $2 million, and 22% were in the $1 million to $2 million range. Randwick buyers are coming to the market with the ability to buy at the upper end, looking for the balance of convenience and location the suburb offers.
Recent sales in Randwick
The recent sales our team have achieved in Randwick reflect the broader trend towards homes that can comfortably accommodate families:
- 18 Stephen Street: A light-filled three-bedroom family home within walking distance of Centennial Park.
- 39 Oberon Street: A freestanding three-bedroom terrace home with easy access to Coogee beach.
- 21 Centennial Avenue: An architecturally designed five-bedroom home with an open-plan layout and lush garden.
Where will the Randwick market move from here?
Randwick’s median prices for both units and houses over the past three years show steady, reliable growth. This is particularly important to remember in light of the many reports of a ‘cooling’ market – or even an impending market crash – in Sydney over the past two to three years.
Randwick has shown no sharp downturns over this time. In fact, average annual capital growth for houses is currently at 6.77%, while units are showing 7% annual growth. Moving into the 2018 spring sale season, we’re expecting to see houses move further towards a $2.75 million median, while units should easily cross the $950,000 median mark by the end of the year.