- Sydney's middle ring markets, where houses can be found around the median price, dominate the list
- Four of the top 10 are unit markets
- Western Sydney's strong employment nodes make this area appealing to buyers and investors
Although the overall Sydney market has declined, middle-ring areas that offer houses in the $900,000 to $1.5 million range – such as Canterbury-Bankstown, Georges River, Cumberland, Parramatta, and Fairfield – still have strong growth markets, according to Canstar’s latest Rising Stars Report.
The report noted that apartments are attracting increased buyer demand, especially in suburbs that are well-connected where median unit prices are typically half that of median house prices or less.
In particular, Sydney City, Inner West and Parramatta LGAs are all attracting interest for apartments offering relative affordability.
Top 10 Best Suburbs to Invest in Sydney 2023
- Campsie (Units)
- Fairfield
- Georges Hall
- Granville
- Jamisontown
- Liverpool (Units)
- Lurnea
- Marrickville (Units)
- Rooty Hill
- Westmead (Units)
Campsie (Units)
As mentioned earlier, the Canterbury Bankstown market is on trend given its well-connected middle market location. Apartments cost a fraction of houses. In Campsie, the median unit price of $620,000 is half that of the median house price and unit sales currently outnumber houses four to one.
The suburb has a green spine and it has good transport connectivity: it is on the train line and close to the M3/M5 East network. Vacancies are trending downwards.
Fairfield
Fairfield, both as a suburb and the LGA, come second on the list. This middle market is still delivering good sales activity compared to the rest of Sydney, with house prices below the median. The capital growth record has been good, and vacancies are low. This location also benefits from train links, green spaces, schools, and proximity to employment nodes.
Georges Hall
Georges Hall is one of the Canterbury Bankstown suburbs that is attracting strong demand despite the overall subdued market. It is well positioned for employment given its halfway location between Liverpool and Bankstown CBDs. The Bankstown Aerodrome is a major employment zone itself.
Georges Hall is also surrounded by a range of major green spaces, including golf courses, sports fields, and parkland. Strong demand is also caused by the low vacancy rate.
Granville
The Cumberland LGA is still attracting solid buyer demand, with Granville popular due to its well-credentialed location. It has strong train links, being just two stops from the Parramatta CBD, and close access to the M4 Western Motorway. It has both employment and education nodes in the area, being home to a TAFE campus and numerous schools. Also, sales activity in the area has doubled across the past 19 months, with the long-term growth average rate being particularly strong.
Jamisontown
A key area of the diverse Western Sydney economy is the City of Penrith, with opportunities arising from the new airport and Aerotropolis. Jamisontown is located between the Penrith CBD and the M4 Western Motorway. The area is relatively affordable, has a strong long-term growth rate, low vacancies, and rental yields are well above the median of Sydney.
Liverpool (Units)
The suburbs of Liverpool LGA are in a good position for rising demand given the growth of Western Sydney, as mentioned above. Liverpool itself is a key suburban CBD of Sydney with a range of medical, educational and retail amenities. There are many affordable well-located apartments in demand, with Liverpool’s median unit price being $485,000.
Lurnea
Located in Sydney’s south west, Lurnea ticks an array of locational boxes. It is at the intersection of the Westlink M7 and South West Motorway near the Liverpool CBD and close to employment zones. Lurnea has multiple schools, green space and access to amenities in the Liverpool CBD. Its median house price remains below $900,000.
Marrickville (Units)
Marrickville, like many Inner West suburbs, features units that cost a fraction of local houses. Demand for relatively affordable units is rising. While the median house price in Marrickville has nudged $2 million recently, the median for units is $840,000. Unit sales are outnumbering house sales.
Rooty Hill
With a long-term growth rate equating to 9.2% over 10 years, the Western Sydney suburb of Rooty Hill is among the best performers in Sydney. Despite this extraordinary growth, the median house price is still in the mid-$800,000s. It has a low vacancy rate (0.7%) and rents are on the rise. The suburb benefits from the Western Sydney parklands while the M7/M4 intersection means the suburb has a large employment zone.
Westmead (Units)
Westmead is one of the biggest hospitals and university hubs in Sydney, located just outside the Parramatta CBD. During the past 12 months, over 300 apartments have been sold with a median price of $560,000. The low vacancy rate has meant that rents are rising strongly. Both the train links and Parramatta Park green space solidify the suburb as one of the best to invest in.
Top 10 Best Suburbs to Invest in Sydney 2023
| Suburb | Median price | 1-yr growth | 10-yr average annual growth (%pa) | Vacancy rate | Median rental yield | Upfront costs* | 20% deposit amount | Monthly repayments (P&I) with 80% LVR |
| Campsie (U) | $620,000 | 0.0% | 5.0% | 1.5% | 3.2% | $23,298 | $124,000 | $2,739 |
| Fairfield | $940,000 | 18.2% | 8.9% | 1.5% | 2.5% | $37,698 | $188,000 | $4,153 |
| Georges Hall | $1,220,000 | 27.1% | 8.9% | 1.1% | 2.6% | $51,608 | $244,000 | $5,390 |
| Granville | $990,000 | 19.1% | 9.6% | 1.4% | 2.4% | $39,948 | $198,000 | $4,373 |
| Jamisontown | $840,000 | 11.8% | 8.6% | 0.9% | 3.2% | $33,198 | $168,000 | $3,711 |
| Liverpool (U) | $485,000 | 2.6% | 6.5% | 1.4% | 3.8% | $17,223 | $97,000 | $2,143 |
| Lurnea | $890,000 | 20.9% | 9.6% | 1.4% | 2.6% | $35,448 | $178,000 | $3,932 |
| Marrickville (U) | $840,000 | 11.8% | 6.6% | 1.1% | 2.8% | $33,198 | $168,000 | $3,711 |
| Rooty Hill | $850,000 | 18.1% | 9.2% | 0.7% | 2.8% | $33,648 | $170,000 | $3,755 |
| Westmead (U) | $560,000 | 0.0% | 4.3% | 1.4% | 3.7% | $20,598 | $112,000 | $2,474 |
