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It’s well known that Sydney is one of the best cities in the world to live in, but it is also one of the world’s most expensive.
After booming through 2020 and 2021 with prices rising by 27.2%, Sydney housing values fell -12.4% from their peak in January 2022 through to the trough in January 2023.
The Sydney housing market clearly turned the corner in early 2023 and has been firmly in the recovery phase of its property cycle, with prices rising steadily month-on-month since then. A strong driver of this price growth is the city’s current supply and demand imbalance.
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While Sydney property buyers are back in force, they are currently being cautious – their pockets are shallower and their borrowing capacity significantly reduced.
However, despite the overall caution, buyer demand is still strong, and this will continue to push Sydney’s property market through its revival.
Sellers are also coming back to the market with total property listings for Sydney marginally higher than in the same month last year, although the stock of older listings is slimmer so overall supply remains constrained.
And some of the city’s suburbs are so tightly held that an available property for sale comes around once in a blue moon, with homeowners holding onto their houses for as long as 20 years.
Meanwhile, areas in lifestyle or coastal suburbs are still in particularly strong demand as homebuyers wait to secure their dream property.
In September 2024 the city’s median price for houses stands at $1.47 million, up 0.8% since the last quarter and up 5.7% over the year. It’s a similar story for units which have risen 0.7% over the quarter but are 3.3% higher year-on-year at a new $859,050 median.
Nonetheless, here in Sydney’s top 10 expensive suburbs list, you’ll find some of the most luxurious and expensive suburbs in the whole of Australia. So, if you’re looking to see which affluent areas have the highest price tags, these are the top 10 most expensive suburbs to buy a property in Sydney, according to data from Domain and Realestate.com.au.
1. Bellevue Hill – $9.75m
Families with deep pockets will find Bellevue Hill ideal, close to the best private schools, shops, beaches and the city centre.
You’ll find lavish homes and incredible gardens in the area. The median house price is $9.75 million, up 7.3% over the past 12 months and pushing it into first place on the top 10 list.
Units average at around $1.56 million, which is a 13.6% increase over the year.
Properties in the area also fetch a decent price for rent – $2,675 per week for houses and $900 per week for units.
2. Darling Point – $9.3m
The most expensive place to buy a house in Sydney is only four kilometres away from the CBD and comes with picturesque waterfront views.
The median sale price for houses in Darling Point is an astronomical $9.3 million with rent coming in at $2,750 a week. Even units average $2.35 million and $1,170 a week.
3. Vaucluse – $8.3m
Vaucluse is known for being an incredibly affluent area with peninsular and harbour views unlike any other.
You’ll find lavish beaches everywhere in this coastal haven. A median-priced house in Vaucluse will cost you a whopping $8.3 million and $3,400 in rent.
Units are more affordable in comparison to other expensive suburbs, coming in at around $1.55 million fetching $900 per week in rent. Houses have dropped -7.9% over the past 12 months but units have risen 16.3% over the same period.
4. Tamarama – $7.92m
Double Bay is a harbourside suburb with sophisticated and prestigious properties. You’ll find a range of boutique shopping and elegant cafes on your doorstep if you choose to live in the area. Houses come in at an average of $7.9 million, which is a 30.4% increase year-on-year. Apartments are much cheaper with an average cost of $1.88 million, which has fallen 0.9% over the year. Rental prices in the area are around $2,150 per week for houses and $95000 per week for units.
5. Double Bay – $6.17m
Double Bay is a harbourside suburb with sophisticated and prestigious properties.
You’ll find a range of boutique shopping and elegant cafes on your doorstep if you choose to live in the area.
Houses come in at an average of $7.9 million, which is a 30.4% increase year-on-year. Apartments are much cheaper with an average cost of $1.88 million, which has fallen 0.9% over the year.
Rental prices in the area are around $2,150 per week for houses and $950 per week for units.
6. Centennial Park – $7.46m
Centennial Park is in the south-east of Sydney, only four kilometres away from the CBD.
Similar to Longueville, the area has many Federation and Victorian-style homes.
Median house prices are sitting at around $7.46 million but are hard to secure. Units are significantly cheaper at around $930,000 (up 16.3% over the year) and $650 for weekly rent.
7. Dover Heights – $6m
Dover Heights is another coastal suburb located close to the beach, the hub of Bondi and the Dudley Page Reserve, around 9km away from the CBD.
A house will cost you $6 million (having experienced a 7.7% decrease over the past 12 months) or $2,225 a week in rent, putting it in 7th joint place with Rose Bay.
Apartments in Dover Heights come in at a median of $1.46 million or $990 in rent.
8. Rose Bay – $6m
Nestled between Bellevue Hill and Dover Heights, Rose Bay has direct water access to the Sydney Harbour and is known for its luxurious lifestyle and statement properties.
A house will cost you around $6 million, up 5.3% over the past 12 months and pushing the suburb up higher through the top 10 list, or $1,900 per week in rent, putting it in 7th joint place with Dover Heights.
Rose Bay units are also on the expensive side, selling for around $1.53 million (down 5.8%) or rent for $900.
9. Mosman – $5.74m
Mosman is another high-end area with both young families and older residents.
The suburb is located in the Northern Beaches district, also about eight kilometres from the CBD.
Both modern and old homes offer harbour views and all the other benefits of coastal living.
Houses come at a median price of $5.74 million (up 10.5% over the year) whereas units sit around $1.36 million (up 5.4% over the year). Rental prices in the area sit around $1,950 for houses and just $700 for units.
10. Woolwich – $5.55m
Woolwich is a small peninsula north of the Sydney Harbour Bridge.
The predominant age group in the area is 60-69 years old, with households taken up mainly of childless couples.
There isn’t much data available for median house prices, but data suggests they sit around $5.55 million and given the small suburb size, are hard to find.
There is also minimal data on the median price of units, but data shows around $1 million, with an expected rent of around $615 per week.
How much could Sydney home prices rise in the future?
While Sydney’s property values keep rising, price growth has slowed over the last few months. And commentators expect that Sydney house prices will deliver another year of growth in 2024, rising by as much as 7%.
The reasoning behind the continuation of the slow but steady price increases is that Sydney’s property market is underpinned by strong overseas migration and a lack of supply of quality dwellings and very little new construction causing a significant undersupply of properties.
Of course, these are just averages and some locations will outperform others considerably, particularly Sydney’s middle ring gentrifying suburbs.
At the same time, Sydney rents are likely to continue rising throughout 2024 while the severe shortage of rental houses and apartments remains.
