Lismore Property Market Update 1st Half 2025
Lismore, located in New South Wales, is known for its vibrant arts and cultural scene, offering a unique blend of creativity and community spirit. The town's proximity to beautiful natural attractions like the beaches of Byron Bay and the lush hinterlands makes it perfect for nature lovers.
Property Trends
In Q1 2025, Lismore recorded a median house price of $600,000 and a median unit price of $535,000. This is an annual (Q1 2024 – Q1 2025) median price growth of 19.8% for houses, while unit prices softened by -2.7%. Comparing Q1 2024 and Q1 2025, sales declined by -43.0% for houses (to 175 sales) and -20.0% for units (to 28 sales). There is an undersupply of houses, which created a buffer against higher interest rates, hence continuous price growth. The unit market has become slightly more affordable, opening a key opportunity for buyers.
Project Development
Lismore is set to see approximately $106.1M of new projects commencing construction in 2025. Although there is some ready-to-sell stock planned for construction (49 units, 11 dwellings, and 34 land lots), this is mostly units. Land lots can be developed into new homes, however this takes time. Thus, in the short term the house market will remain undersupplied, which will push prices up further.
Rental Market & Growth
House rental yield in Lismore was 4.1% as of March 2025, higher than Lismore City LGA (4.0%) and Sydney Metro (2.7%). This was paired with a 2.5% increase in median house rental price in the past 12 months to Q1 2025, at $615 per week, along with a -14.5% decrease in the number of houses rented (to 106 rentals). The same pattern also can be seen in the unit market. This indicates a rental undersupply in Lismore, in good news for investors.
Vacancy Rates & Property Investment
Lismore recorded a vacancy rate of 0.8% in March 2025, below Lismore City LGA’s 1.4% and Sydney Metro’s 1.1%. Vacancy rates in Lismore decreased slightly in the last 12 months, indicating an even tighter rental market. Further, a 0.8% vacancy rate is significantly below the Real Estate Institute of Australia’s healthy benchmark of 3.0%, which suggests quicker occupancy of rental properties. This confirms there is a conducive environment for investors, even with a higher house sales price (thus entry price) in the past 12 months to Q1 2025.
