New research has revealed the top 10 suburbs around the nation with forecast median house price growth of up to 30 per cent over the next three years.
Each of the major regions in Australia include suburbs with price potential, according to a new analysis.
Research from Select Residential Property Research Group (SRP) has identified the top 10 suburbs within major markets, with one location potentially achieving more than $385,000 in capital growth across the next three years.
The group used 17 market variables to determine the locations with the best chance of superior price growth over the period.
According to the data, the top 10 predicted price performers are in Victoria, New South Wales, Queensland, South Australia and the Australian Capital Territory with current median house prices ranging from $396,000 to nearly $1.3 million.
SRP Director of Research Jeremy Sheppard said the research highlighted that each major region had suburbs with price potential, regardless of what the market cycle was doing at the time.
“These suburbs all have a number of desirable features, however, one of the main reasons why house prices are forecast to grow is an imbalance of demand to supply,” he said.
“The thing is, even if prices end up only climbing by half as much as predicted, such is the nature of forecasting, it’s still a great return on investment over a short period of time.”
The number one location, by percentage growth over the next three years, is the inner Melbourne suburb of Balaclava, where the median house price is tipped to increase by 30.3 per cent from its current median house price of $1.07 million.
Number two spot on the list, but the top performer for potential capital growth by dollar value, is Narraweena in Sydney.
Mr Sheppard said the Northern Beaches suburb had already been recording increased demand from buyers throughout this year.
“The research forecasts a $386,000 change in its median house price, so it would be wise to not delay if you’re interested in buying there anytime soon,” he said.
Source: The Real Estate Conversation 10th October 2019 https://www.therealestateconversation.com.au/news/2019/10/10/research-reveals-top-ten-suburbs-primed-future-capital-growth/1570663897