Where can you buy a sub-$500,000 unit in our capital cities?
CoreLogic have looked at where you’ll find a unit with a median value of under $500,000 close to the CBD.
The results highlight that housing options under $500,000 are available much closer to the CBD for units compared with houses. This likely also goes some way to explaining why in Sydney and Melbourne, where house values are falling, the more affordable unit market is holding up better).
While most Australians still aspire to own a house, the cost of well located houses, particularly in the larger capital cities, is restrictive.
As a result an increasing number of buyers are choosing to purchase more affordable units which offer the ability for owners to live in more desirable suburbs at a lower price point than purchasing a house.
- Sydney
Lakemba is the suburb closest to the city centre with a median unit value below $500,000.
Located just over 12km from the city centre, the median value is $435,314. Compared to other capital cities, unit values below $500,000 are typically much further away from the city centre.
The Melbourne CBD has a median unit value below $500,000 and most of the suburbs surrounding the CBD also offer units which are typically valued below $500,000. Compare this to the detached housing market where the suburb closest to the city with a median below $500,000 was 16km away.
- Brisbane
Most suburbs in Greater Brisbane have a median unit value below $500,000. Even within the CBD and surrounds median unit values generally sit below $500,000 offering a much more affordable alternative, particularly in the inner city to houses.
- Adelaide
Units are much more affordable than houses throughout the city. In fact, throughout the whole city there are only five suburbs in which median unit values are in excess of $500,000.
- Perth
While most of the suburbs surrounding Perth’s CBD have a median unit value below $500,000 there remains many suburbs with a median value of more than $500,000. These suburbs are typically along the coast or along the Swan River in some of the more exclusive enclaves.
- Hobart
With a citywide median unit value well below $500,000 most of the suburbs across Hobart have a median value below $500,000. In fact, across the whole city only 3 suburbs have a median unit value of more than $500,000.
- Darwin
Only one suburb in all of Greater Darwin has a median unit value of more than $500,000. As a result, the supply of relatively affordable unit stock is significant, particularly when compared to houses below $500,000.
- Canberra
While there was only 1 suburb with a median house value below $500,000 there are substantially more suburbs with a median unit value below $500,000. Many of these suburbs are also quite close to the city centre resulting in a cheaper and more viable housing alternative in these areas.
Property Observer spotted a Lakemba two bedroom unit in Sydney has been recently sold for $442,000 (pictured below).
Set back from the street on the second level, the 9/94 Sproule St apartment features two bedrooms, open living and dining zone, eat-in kitchen, and lock up garage.
It is less than 10 minutes walk to Lakemba Station, buses and shops.
A Brisbane City two bedroom apartment with city and mountains views currently on the market is priced at over $477,000 (pictured below).
Situated in popular Aurora Towers, the 398/420 Queen Street apartment features two bedrooms, open plan living and dining area and balcony with the views.
Aurora resident facilities include a pool, spa, sauna, gym, cinema, sun deck and BBQ area.
The 86 square metre apartment is close to dining, entertainment and retail options in the CBD, public transport and universities.
