Sydney house prices are entering yet another growth cycle.

With the median house price in the city approaching $1.5 million, more Sydneysiders are turning to apartments. As demand for apartments rises, so do their prices.

A brief market downturn has passed, and both housing types are now trending upward. Sydney’s median unit value currently sits at $859,000—over $600,000 less than houses—making them the more accessible option for many.

First home buyers have largely accepted that their first step onto the property ladder will likely be an apartment. Around 25% are willing to spend up to $1 million, while the majority (40%) are prepared to spend over $1 million to buy into the Harbour City.

Here’s where first home buyers are focusing their search:

<hr data-end="971" data-start="968" />
<h3 data-end="990" data-start="973">Rozelle</h3>

Sydney’s Inner West has long been one of the most popular regions for first home buyers. However, a lack of new apartment supply has suppressed the market.

PERIFA is looking to change that with the launch of <a data-end="1330" data-start="1230" rel="noopener" target="_new">Rozelle Village</a>, a landmark development breathing new life into the former Balmain Leagues Club site.

Set to deliver 59 affordable housing units within a broader mix of 227 apartments, Rozelle Village combines inner-city convenience with lifestyle perks like curated retail laneways, a community plaza, and proximity to Darling Street.

With a mix of one-, two-, and three-bedroom apartments, it’s a rare opportunity for first home buyers seeking urban appeal and community connection. Construction begins in late 2025, with completion expected in 2028.

<hr data-end="1874" data-start="1871" />
<h3 data-end="1898" data-start="1876">Melrose Park</h3>

Melrose Park is one of Sydney’s most active first home buyer markets, amid a $5 billion transformation.

Two major developers—Deicorp and Sekisui House Australia—are driving the suburb’s regeneration.

Deicorp’s <a data-end="2251" data-start="2166" rel="noopener" target="_new">Melrose Central</a> will deliver 500 apartments within a mixed-use precinct located directly in front of the future Melrose Park light rail stop. The project will feature a 30,000 sqm shopping centre anchored by Coles, offering walkable convenience and appeal for young professionals.

[smartcode_project:default project_id=134220 project_image_fid=289882]

Sekisui’s broader masterplan includes the recently launched <a data-end="2734" data-start="2650" rel="noopener" target="_new">Dawn</a>, comprising 368 smart apartments with rooftop gardens, smart home tech, and penthouse options. It’s located near the future Melrose Park High School and town centre.

[smartcode_project:default project_id=145496 project_image_fid=334163]

The next stage, <a data-end="3130" data-start="2990" rel="noopener" target="_new">Aeris</a>, will be the largest yet—468 apartments across two high-rise towers, the tallest in the precinct.

<hr data-end="3233" data-start="3230" />
<h3 data-end="3253" data-start="3235">Waterloo</h3>

Waterloo has been a first home buyer hotspot for two decades. Its proximity to the CBD and relative affordability—compared to Redfern and Surry Hills—continues to attract buyers, many of whom previously rented nearby.

After a lull in new development, DASCO has launched <a data-end="3661" data-start="3557" rel="noopener" target="_new">Danks St District</a>, a new mixed-use community set to become the suburb’s go-to lifestyle hub.

[smartcode_project:default project_id=111820 project_image_fid=344699]

One-bedroom apartments start from $960,000. The 1.7-hectare site, bordered by Danks, McEvoy and Young Streets, will feature six residential buildings. The first stage, Bourke Street Residences, includes generous floorplans, rooftop gardens, outdoor gyms, and soundproofed music rooms—ideal for creatives and young couples.

[smartcode_project:default project_id=111820 project_image_fid=344699]

Buyers benefit from Latent Defects Insurance, offering added peace of mind—an increasingly rare feature in new builds so close to the city.

<hr data-end="4350" data-start="4347" />
<h3 data-end="4372" data-start="4352">Merrylands</h3>

First home buyer activity is booming in Western Sydney, particularly in Merrylands on the edge of Parramatta.

<a data-end="4609" data-start="4511" rel="noopener" target="_new">Mason &amp; Main</a> by Coronation Property has seen strong demand from first-time buyers. A handful of brand new, move-in-ready apartments are still available, including studios and two-bedders—many qualifying for stamp duty exemptions.

[smartcode_project:default project_id=31751 project_image_fid=257785]

Residents enjoy rooftop amenities, a gym, pool, and a retail precinct with over 25 stores. Located just 350 metres from Merrylands Station, it’s an attractive option for commuters.

[smartcode_project:default project_id=5660 project_image_fid=343722]

&nbsp;

Nearby, Northland Group has launched <a data-end="5222" data-start="5118" rel="noopener" target="_new">Central Quarter</a>, the first Merrylands project with 10-year Latent Defect Insurance by Resilience Insurance. The building will house 194 apartments and a rooftop communal space, with construction due for completion in early 2026.

Northland is currently locking in street-level retail tenants to enhance resident amenity.

<hr data-end="5532" data-start="5529" />
<h3 data-end="5555" data-start="5534">St Leonards</h3>

Project: Waterstone

Suburbs connected to Sydney’s expanded Metro network are increasingly popular with first home buyers—none more so than St Leonards.

Sekisui House Australia recently launched <a data-end="5846" data-start="5756" rel="noopener" target="_new">Waterstone</a>, a 230-apartment development with a strong sustainability and community focus.

[smartcode_project:default project_id=134191 project_image_fid=234]

The development includes a range of one-, two-, and three-bedroom options, with nearly a third of the site dedicated to green open space. A central “green spine” and swimming pool will feature prominently.

Waterstone is inspired by the Japanese philosophy of Satoyama, which promotes harmony between humans and nature. Native plantings, energy-efficient systems, and sustainable materials all form part of the design’s environmental ethos.

Joel Robinson

The most popular Sydney suburbs for first home buyers in 2025

<a href="https://www.urban.com.au/developments/north-sydney-nsw-2060">North Sydney</a>’s AURA by Aqualand has been taken out the Best Residential High Rise Development - Australia, at the 2025 Asia Pacific International Property Awards.

The win positions <a href="https://www.urban.com.au/buildings/aura-by-aqualand-north-sydney-168-walker-street-north-sydney-nsw-2060">AURA</a> among the top-tier developments in the region,&nbsp;recognising the project’s architectural strength and contribution to urban renewal in the Lower North Shore.

[smartcode_project:default project_id=30959 project_image_fid=292862]

Developed by <a href="https://www.urban.com.au/developers/aqualand-australia">Aqualand Australia</a> and designed by <a href="https://www.urban.com.au/architects/woods-bagot">Woods Bagot</a>, AURA is one of the most significant new builds to emerge from North Sydney’s current wave of transformation.

Located adjacent to the new Victoria Cross Metro Station, the development occupies a prominent site that is both physically and symbolically central to the area’s growth into a denser, more connected urban precinct.

The Asia Pacific International Property Awards are part of a globally recognised program that evaluates real estate projects across architecture, sustainability, and overall contribution to the built environment. The “Best Residential High Rise - Australia” category highlights projects that elevate apartment living standards while responding to their urban context.

[smartcode_project:default project_id=30959 project_image_fid=292861]

AURA’s design draws heavily from the surrounding harbour landscape. Its curved form references Sydney’s sandstone cliffs and foreshore, while the building’s sculpted exterior enhances light and airflow to the residences.&nbsp;

Woods Bagot Principal Jason Fraser, who led the project, described the design intent as “creating a building that responds to its site both visually and experientially.”

“We’re honoured to have helped bring AURA by Aqualand to life. This recognition captures the spirit behind our creative concept, which was to create a striking addition to Sydney’s skyline that people are proud to call home.”&nbsp;

The architecture aims to integrate with the evolving cityscape of North Sydney while establishing a distinctive identity for the building and its residents.

AURA offers 386 apartments ranging from one to four bedrooms. Interiors, by Richard Stanisich, focuses on spacious layouts and contemporary materials.

[smartcode_project:default project_id=30959 project_image_fid=292874]

Beyond its residential offering, AURA is designed as a mixed-use precinct. The ground plane has been developed with a focus on permeability and activation, offering new hospitality venues including a bakery, providore, wine bar, Japanese restaurant, and LA-inspired bistro. These additions reflect broader trends in inner-urban residential development, where amenity and street-level engagement are increasingly prioritised.

The inclusion of concierge services and shared wellness and recreation spaces is consistent with the growing expectation that apartment developments deliver a well-rounded resident experience.

[smartcode_project:default project_id=30959 project_image_fid=292899]

The award comes as North Sydney experiences one of the most significant urban shifts in its history, spurred by infrastructure investment and rezoning initiatives.&nbsp;

The completion of the Victoria Cross Station and upgrades to the surrounding public space have made the area more attractive to developers and owner-occupiers alike.

AURA is complete and move-in ready.

[smartcode_project_cta:default project_id=30959]

Woods Bagot Principal Jason Fraser, who led the project, described the design intent as “creating a building that responds to its site both visually and experientially.”

AURA by Aqualand awarded Australia’s Best Residential High Rise at 2025 Asia Pacific Property Awards

Construction of the landmark <a href="https://www.urban.com.au/new-apartments/sydney-house-194-204-pitt-street-sydney-nsw-2000">Sydney House</a> mixed-use development, a joint venture spearheaded by <a href="https://www.urban.com.au/developers/first-sponsor">First Sponsor</a> and <a href="https://www.urban.com.au/developers/icd-property">ICD Property</a>, is forging ahead and moving into the next stage of the construction program.

The iconic project in the heart of Sydney’s CBD is on track for delivery in 2027.

Designed by acclaimed architects, <a href="https://www.urban.com.au/architects/bvn-architecture">BVN Architecture</a> (for the tower and interiors), and FJC Studio (for the heritage podium),&nbsp;<a href="https://www.urban.com.au/new-apartments/sydney-house-194-204-pitt-street-sydney-nsw-2000">Sydney House</a> will comprise 241 premium residences atop a 135-room hotel.

<a href="https://www.urban.com.au/builders/richard-crookes-constructions">Richard Crookes Constructions</a>&nbsp;Construction Manager, Elliot Hicks confirmed demolition and bulk excavation are now complete, and major structural activities are progressing at pace.&nbsp;

[smartcode_project:default project_id=12428 project_image_fid=312145]

“The installation of the site’s third tower crane is now complete, marking a significant milestone in the project’s delivery, which will see further efficiencies as we work through the structure, with the site’s core reaching level 7 and structural slabs reaching level 3 by the end of May,” Hicks said.

“A significant and unique component of this project is the meticulous retention and protection of heritage elements, reflecting Sydney House’s commitment to preserving its historic character while delivering a modern, world-class development that enhances the site’s significance for generations to come."

Hicks said that three of the four buildings will see&nbsp;significant heritage retention and restoration to both facades and key internal elements.

"So far, the heritage works on site have seen the retention of the remaining heritage fabric across key areas such as the façade elements, the Lower Bar, Sydney Room, Corinthian Room, and Billiard Room, which are all now fully secured and protected.&nbsp;These richly detailed spaces — each with architectural and cultural significance — have undergone careful salvation of heritage material, which will be preserved and reused in the completed building."

Hick said the&nbsp;respectful integration of new structure with the historic core is central to the vision for Sydney House.

“By preserving character-defining elements and embedding them into the future of the building, we’re honouring the site’s legacy while creating an enduring new chapter.”

[smartcode_project:default project_id=12428 project_image_fid=350617]

Sydney House continues to track well against its program and promises to be a striking blend of heritage and innovation in Sydney’s cityscape by 2027.

Richard Crookes Construction is renowned for its meticulous, exceptional quality of construction in high-end residential projects such as the Sirius building in The Rocks.

First Sponsor and ICD Property echoed the sentiment regarding the development, noting that the project is well on track to becoming a new architectural icon for Sydney.

“Sydney House is more than just a building – it’s a legacy project that reflects our shared vision for delivering a truly exemplary project befitting its CBD location, set within one of the city’s most prestigious enclaves,” said a spokesperson for the joint venture.

The next phase of construction will see the tower core continue to rise, alongside internal fit-outs and façade installation, with completion expected in Q4 2027.

[smartcode_project_cta:default project_id=12428]

Richard Crookes Constructions progresses to structural works marking the beginning of a new construction milestone of the 50-storey tower on Sydney House

Construction steaming ahead at iconic Sydney House mixed-use landmark

Confidence is currency in the off the plan apartment market.

A developer’s track record is paramount. If they’re new to the scene, their personal background and the calibre of their partners—architects, builders, planners—can offer strong indications of the project's likely success.

Now, a new layer of buyer assurance is emerging: Latent Defects Insurance (LDI).

INCA Property Group is among the latest developers to adopt this rigorous form of protection, securing LDI through Resilience Insurance for its boutique St Ives development, Ellis Residences.

Currently under construction by GOP Constructions, Ellis Residences will comprise 18 three-bedroom apartments, nestled in a quiet cul-de-sac just moments from St Ives Village.

[smartcode_project:default project_id=144449 project_image_fid=316794]

INCA Development Manager Michael Downs says the team first encountered LDI during their Waitara project but couldn’t proceed at the time, as construction was already too far advanced.

"By the time we were planning Ellis, our builder was proactively asking for it," Downs says. "It gives them certainty, it gives us confidence—and ultimately, it protects the buyer in a way that traditional strata bonds can’t. By the time it’s complete, we know any structural concerns for the next 10 years are covered. It’s a cleaner, more accountable way to do things—the builder can move on, and the buyer isn’t left chasing defects years down the track."

INCA’s Sales and Marketing Manager Mat Cassidy says that while LDI may not be widely understood by buyers just yet, it’s a game changer once explained.

"When we invited our local agent network to preview Ellis before launching sales, the key topic of conversation was how to explain Latent Defects Insurance to buyers," Cassidy says. "We had the Resilience Insurance team on hand to answer questions and break it down. Once it was explained, the value really hit home."

Cassidy describes LDI as "a new benchmark for buyer protection", and says its impact goes beyond post-settlement peace of mind.

"There are monthly or even bi-monthly inspections by a third-party Technical Inspection Service. What the builder delivers isn’t just acceptable to the developer—it has to meet the insurer’s standards. That level of scrutiny benefits everyone."

Even in the event that something does arise post-completion, Cassidy says the process is refreshingly simple for buyers.

"If something goes wrong within the first 10 years, buyers aren’t left fighting for a resolution. They just call the insurer. That’s what we love—peace of mind for everyone involved."

Ellis Residences is currently one of the only developments in the Ku-ring-gai local government area to offer Latent Defects Insurance.

Cassidy confirms INCA plans to roll out LDI across all future apartment projects.

"It’s a must for us—we’re committed to doing the right thing by our buyers," he says. "Without buyers, there are no new projects, so their needs and expectations come above all else."

<hr data-end="3209" data-start="3206" />
<h3 data-end="3252" data-start="3211">What is Latent Defects Insurance?</h3>

Latent Defects Insurance is a 10-year structural warranty that protects apartment buyers from major defects in structural elements, waterproofing, and core building systems such as electrical and plumbing.

It differs from traditional strata bonds in that it’s developer-purchased and activated immediately upon completion. It also includes independent inspections throughout construction to help catch issues early.

Read more:&nbsp;<a href="https://www.urban.com.au/news/what-is-latent-defects-insurance-and-is-it-bringing-confidence-to-the-off-the-plan-apartment-market">What is Latent Defects Insurance and is it bringing confidence to the off the plan apartment market?</a>

Ellis Residences is currently one of the only developments in the Ku-ring-gai local government area to offer Latent Defects Insurance

"A new benchmark for buyer protection" INCA takes out Resilience LDI at Ellis Residences, St Ives

Leading Sydney developer <a href="https://www.urban.com.au/developers/deicorp">Deicorp</a> has officially broken ground on its $1 billion Showground Pavilions project in Castle Hill, marking the start of construction on one of the most significant residential projects in Sydney’s north-west.&nbsp;

Located within the Hills Showground Station Precinct, the Precinct East project – known as Showground Pavilions – will deliver 873 new homes across five residential buildings designed by award-winning architecture firms <a href="https://www.urban.com.au/architects/turner-studio">Turner Studio</a> and <a href="https://www.urban.com.au/architects/group-gsa">GroupGSA</a>.

The development will also include 44 affordable dwellings, a 3,500 sqm public park, and communal outdoor spaces such as landscaped courtyards, a playground, barbecue areas and shaded seating.&nbsp;

<img alt="Showground Pavilions in Castle Hill" data-entity-type="file" data-entity-uuid="d7c28303-b5e5-4956-9207-cb3297c33a66" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ShowgroundPavilions_Pedestrian%20Spine%20Link.jpg?VersionId=DNtf0ZNrqZsbLBCLO79fOfeKRG8NX7QL" />

“The Hills Shire is one of the fastest-growing regions in the country, with our population projected to reach 328,000 by 2041," said Mayor Dr. Michelle Byrne.&nbsp;

"This rapid growth presents significant challenges, particularly amid a national housing crisis. That’s why developments like the Pavilions are critical to addressing these challenges. It’s a prime example of situating high-density development close to public transport, community facilities, such as Castle Hill Showground and shopping centres, like Castle Towers."

Dr&nbsp;Byrnev said it is also great to&nbsp;see affordable housing set aside for key workers such as nurses, teachers, and police officers—helping them to live in the community they serve.

The development forms part of the Hills Showground Station Precinct – an urban renewal initiative led by Landcom and Sydney Metro. Deicorp was selected to deliver both the East and Village precincts, with the neighbouring 430-apartment Hills Showground Village now under construction and Stage 1 nearing completion mid-year.&nbsp;

<img alt="Showground Pavilions in Castle Hill" data-entity-type="file" data-entity-uuid="0385da64-995c-4ac2-90ea-da94e977006e" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/ShowgroundPavilions_Between%20Buildings.jpg?VersionId=nOIPwGTFSn96jKF4oDuxnQsRNS8Yit8z" />

In total, Deicorp’s contributions across both sites will deliver over 1,300 new dwellings and provide more than $2 billion in economic impact. The Precinct East project alone is expected to generate over 5,000 jobs throughout construction and deliver upwards of $200 million to State and Local Government, including local contributions and taxes.

Planning approval for Showground Pavilions was granted by the Department of Planning and Environment in February 2025. The approved scheme includes a considered mix of 136 one-bedroom, 527 two-bedroom, and 210 three-bedroom apartments, with design principles shaped by the site’s natural context and seamless integration with surrounding open space.&nbsp;

“This milestone marks our continued commitment to building vibrant, connected communities along the Sydney Metro line,” said Deicorp Founder Fouad Deiri.&nbsp;

“Showground Pavilions is an outstanding example of how smart, transit-oriented development can help address Sydney’s growing housing demand while creating places people are proud to call home,” Fouad added.&nbsp;

Showground Pavilions is due to launch to market in the coming months.&nbsp;

The project adds to Deicorp’s expanding portfolio of Metro-linked communities, including Tallawong Village, Joynton Avenue in Zetland, and the recently approved Five Ways project in Crows Nest.

Elwood apartments top and tail REIV results

Jonathan Chancellor

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