Australia’s most in-demand commuter suburbs

How much would you pay for a house within 25kms of the city?  Australia’s most in-demand commuter suburbs range in median price from $730,000 – $2,105,000, new data reveals.

Freshwater is the nation’s most in-demand commuter suburb with 4,382 visits per property on for the six months to 31 May 2017. Located just 12 km from Sydney’s CBD and with great schools nearby, it’s easy to see why buyers favour this northern beaches suburb. That demand has resulted in a median house price of $2.1 million.

Nearby Allambie Heights is the second most in-demand commuter suburb with 4,234 visits per property on The northern beaches suburb offers buyers a great lifestyle with a comparatively affordable median house price of $1.6 million.

At number three on the list is Eltham North in Melbourne which is 21kms from the CBD and it received 4,216 visits per property on over the same period.  

The top ten most in-demand commuter suburbs are all big on lifestyle, according to REA Group Economist Nerida Consibee.

“It shows that people in Sydney flock to the beaches and people in Melbourne flock to the leafy north-east.”

” … these are high demand areas and there are far more people looking than listing – that’s a consideration. They are more expensive for that reason. It shows the suburbs where people want to live and all that demand is really pushing up prices,” she says.

Low-interest rates also affect demand and prices in these areas as buyers opt to purchase at the top end of the budgets.

“With debt being so cheap, people are prepared to take on bigger loans. That’s what the Reserve Bank is worried about, people wanting to get the best home that they can afford and at the moment they can borrow quite a lot to get that,” she says.

Most of the NSW suburbs that made the list are near the beach and great schools and have plenty of great parks on offer too, but in Melbourne transport is driving demand to commuter ‘burbs.

“The suburbs in Melbourne, a lot of them are on the train line. I think that’s important. If you look at Greensborough, Macleod it’s on the train line … Given that most people do seem to want to live near train lines, most people are prepared to move away (from the city) to get the type of homes they want,” she says.

“Schooling is also a factor,” Consibee says with many of the areas in the top ten located in or near to the catchment zones for high-performing high schools.

Development opportunities in these areas are something investors and savvy buyers may also want to consider as many of these suburbs have larger blocks and could be subdivided if the local council allows it.

“Freshwater already has a lot of apartments, but places like Eltham North, Lower Plenty and Viewbank, they’re not really apartment locations at the moment.

“Certainly there are townhouses, but not a lot of apartments so this suggests that this is something that could be considered because they are very popular and they are quite expensive areas,” she say


  • Talk to us today