Investment property in Newtown has done around average for investors when compared to the country as a whole over the last 12 months, with an increase in the median house price of 2.77%
Taking the average capital gain, or increase in median house value, Newtown,2042 has racked up an average of 2.77% over the period. This ranks it number 570th in the whole country for real estate investors looking at median house price increases.
LACK OF BUYER INTEREST may well be the reason that Newtown is offering property investors an average of -5.50. This rate of discount on properties puts Suburb at number 1204th in terms of most discounted suburbs in NSW
A $750 per week rent on the median house gives suburb investors a gross yield of circa 3.00%, without taking into account capital value appreciation, which has been averaging out at 9.28%.
Investment property in Newtown has done well for investors when compared to the country as a whole over the last 12 months, with an increase in the median house price of 12.48%
When looking at the potential capital gains offered to property investors over the last 3 years, Newtown comes in at number 272th in NSW.
State is the 7th most discounted Australian state or territory in this month’s figures with an average Vendor Discount of -4.45% offered to property buyers. Sellers in Newtown itself are offering an average vendor discount of -5.11% to real estate investors.
At number 73 in a list of fastest selling suburbs, Newtown is in the TOP 10% of suburbs in Australia with an average of days on market 38.43 for properties listed there.
Property investors should expect to get $500 weekly from the median priced house in this suburb.
Rich Harvey of www.propertybuyers.com.au has two words to describe Newtown: trendy and hip. “You’ve got the most diverse demographic in the suburb,” says Harvey. “You’ve got couples, singles, gays, students, recent migrants, as well as budding artist and writers. It’s really dynamic and vibrant.”Full summary
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Rich Harvey of www.propertybuyer.com.au has two words to describe Newtown: trendy and hip. “You’ve got the most diverse demographic in the suburb,” says Harvey. “You’ve got couples, singles, gays, students, recent migrants, as well as budding artist and writers. It’s really dynamic and vibrant.”
King Street, which is the main thoroughfare, has the highest concentration of shops and cafes in the area. The suburb is located close to Sydney University and Prince Alfred Hospital and has excellent transport via its own train station and regular bus services to the Sydney CBD.
“Some properties in Newtown have hit a premium, but I don’t think it’s going to dip that much because Newtown has a certain appeal to this demographic. A lot of people still prefer to live in Newtown than Enmore or Sydenham; even these suburbs are very close to Newtown because of its history and character,” says Harvey.
Newtown’s residents are mostly young, with an average age of 32 according to the ABS Census. A large proportion (54%) of residents rent, while a third are currently paying their mortgages and 16% fully-own their homes. Residents are also quite affluent, earning an average of $2,243 per week, compared to $1,367 across NSW.
While pricing for houses has hit a premium in Newtown, units are the affordable option at median price of just over $400,000.
At the current pricing for units, Jeremy Sheppard of DSRscore.com.au says Newtown is ripe for the picking, as it’s showing all the characteristics of a suburb about to emerge from a flat period while remaining relatively affordable.
Where to buy: Along Georgina St
Avoid: Close to the train line and near Stephens cemetery