Brett Warren , National Director – Metropole Group
With Sydney’s property market continuing its dynamic evolution, the latest Home Value Index by Cotality reveals a sharp and sustained divide between house and unit prices – now at a record median price gap of $658,000.
According to Cotality, the median house value in Sydney is about $1.526 million and the median unit value is about $868,000 with unit values flat over the year to July.
This disparity, which sees the median unit price sitting at just 56% of house prices, is creating a unique opportunity for home buyers and savvy investors to enter a market once deemed out of reach by many.
“We’re witnessing a pivotal moment in the Sydney property cycle,” Metropole National Director Brett Warren said.
“Units in premium suburbs are trading up to 70% cheaper than houses and yet they’re offering similar lifestyle access and even comparable internal space.
“That’s not just value – it’s a strategic advantage.”
Mr Warren said many units are dramatically undervalued relative to historical norms, particularly in high-amenity suburbs.
“The key here is long-term capital growth. As affordability tightens and house prices continue to outpace income growth in Sydney, units in desirable locations are primed for a rebound. Investors and homebuyers should be paying close attention,” he said.
The uptick in opportunity is also being fuelled by strong lifestyle demand, with newer unit developments now offering generous floor plans, shared amenities, and proximity to schools, transport, and green spaces, he said.
After a sharp dip in apartment completions post-pandemic, data from the City of Sydney suggests a recovery is in motion with large-scale precincts such as in Green Square, Redfern, and the CBD once again showing signs of development momentum.
However, between now and then, there is no question that Sydney’s unit market is under-supplied at present with a plethora of opportunities available, Mr Warren said.
“A lower entry price, smaller deposit, and manageable mortgage gives younger buyers a sustainable way to step onto the property ladder in our most expensive capital city,” he said.
“It’s no longer just a compromise. It can be a strategic platform for growth.”
Mr Warren said homebuyers and investors should also consider townhouses and three-bedroom apartments in price-gap suburbs that offer space, functionality, and long-term value without the premium of detached dwellings.
“The savvy move right now is to find the product that’s flying under the radar but poised to benefit as the market recalibrates,” he said.
“With the current price dynamics opening a narrow window of opportunity, those with a strategic lens – and a willingness to look beyond traditional housing narratives – could reap the rewards for years to come.”
ENDS
To organise an interview with Mr Warren please contact:
Bricks & Mortar Media | [email protected] | 0405 801 979
