Sydney property price growth winding down, but lower north shore surging

It appears that the high levels of growth experienced by Sydney last year, and into the December quarter, is slowing down, with new data showing an increasingly moderate March quarter result for this year.

In an APM report commissioned by Fairfax Media it was revealed that the only area of Sydney seeing a higher growth rate than that in the December quarter is the Lower North, now at 8% growth compared to 5.3%.

APM noted a dramatic slowdown of growth from the December quarter 2013, to the March quarter 2014 for every area in Sydney other than the lower north shore. This included a drop from 8.9% to 1.7% growth in the ‘City and East’, and from 9.2% to 4.3% in the Upper North Shore and North West.

This comes as no surprise to observer Pete Wargent, who previously tipped the lower north shore’s growth at the end of last year as the “ones to watch” in an AllenWargent ‘Buyers Eye’ Sydney - Summer 2013 report. In particular, he pointed to those with “key transport links to the city via Sydney ferries and the north shore train line”.

Just this morning, he took to Twitter to share his jubilation at clients purchasing in his suggested areas.

Previously, Wargent has also expressed his enjoyment, noting “The lower north shore is now absolutely flying!”

He also indicated his expectation for Milsons Point and Waverton to outperform in 2014.

“Next on our hit-list will include three suburbs in particular to the west and south-west, a little further out than the traditional capital growth hotspots, in order to catch the ripple effect of capital growth which is repeated in most property market cycles,” he said.