Beverly Hills Property Market Update 1st Half of 2022
In Q1 2022, Beverly Hills recorded a median house price of $1,470,000 and a median unit price of $645,000. This represents annual (Q1 2021 – Q1 2022) median price growth of 18.9% for houses and a price softening of -11.0% for units. Total sales decreased between Q1 2021 – Q1 2022, by -19.4% (to 58 sales) for houses and by -43.1% (to 29 sales) for units. Median price growth coupled with decreased sales numbers suggests an undersupplied house market in Beverly Hills. Now is the time to transact, particularly for owner occupiers and downsizers looking to benefit from their capital investment.
Average vendor discount between Q1 2021 and Q1 2022 for houses have continue to record a premium, at 1.6%. However, this is a lower premium compared to 12 months prior. Average vendor discount for unit have widened during this time, to -1.6% for units. Market conditions in Beverly Hills have now shifted to favour buyers, as sellers are willing to offer closer or below the initial listing price. Thus, now is an ideal time to transact
House rental yields in Beverly Hills¥ sat at 1.9% in March 2022, slightly lower than Sydney Metro (2.3%). That said the rental market is undersupplied, with a decline of -26.5% houses rented (to 61 rentals). Median house rental price increased by 9.2% between Q1 2020 – Q1 2022, further complemented with a -13.3% decline in average days on the market. The same pattern can be seen in the unit rental market, proving Beverly Hills as an investment hotbed.
3+ bedroom units have provided investors with +6.3% rental growth annually, achieving a median rent of $595 per week.
Beverly Hills recorded a vacancy rate of 1.6% in March 2022, which is on par with Sydney Metro’s 1.6% average. Vacancy rates in Beverly Hills have decreased over the past 12 months, indicating a shift to a landlord’s market. Vacancy rates in the area sits well below the Real Estate Institute of Australia’s healthy benchmark of 3.0% and is currently at a historical low. These key indicators create a conducive and sustainable environment for investors, especially in the unit market.