North Kellyville Property Market Update 1st Half of 2021

In Q4 2020, North Kellyville recorded a median house price of $1,362,000, and a median unit price of $800,000. This represents annual (Q4 2019 – Q4 2020) median price growth of 8.5% for houses and of 9.4% for units. Between Q4 2019 – Q4 2020 total house sales slowed slightly, by -5.3% (to 449 sales), while units increased by 30.8% (to 153 sales). The house market shows signs of a potential undersupply, with median price growth and less sales; however, the unit market indicates real returns on capital investment, with growth in both median price and sales. There are unique opportunities in North Kellyville.

Average vendor discounts between Q4 2019 and Q4 2020 have slightly widened for houses, to -2.0%, while it has tightened for units, to -0.9%. Market conditions in North Kellyville favour buyers overall, as sellers are willing to negotiate below their initial listing price.

In December 2020, house rental yields in North Kellyville were recorded at 3.2%. In the 12 months to Q4 2020, the median house rental price has increased slightly by 1.2% to reach $658 per week, while average days on the market dropped by -25.0% (to 24 days). Overall, this suggests North Kellyville has remained a resilient rental market throughout COVID-19.

4+ bedroom houses have provided investors with +3.0% rental growth annually, with a median rent of $695 per week.

Also, in December 2020, North Kellyville recorded a vacancy rate of 5.4%, above that of The Hills LGA (4.4%) and Sydney Metro (3.6%). Vacancy rates in North Kellyville are also above the Real Estate Institute of Australia’s healthy benchmark of 3.0%, however has showed a sharp improvement just prior to COVID-19. This confirms there is an improving rental demand, suggesting investors can be increasingly confident of a conducive investment environment in North Kellyville.