Norwest Property Factsheet 1st Half 2018
The Norwest property market recorded a median house price of $1,280,250 in Q4 2017, signaling a partial softening of -1.5%. Meanwhile, Norwest’s unit market recorded a median price of $850,000, representing a strong growth of 6.4%. The Hills Shire LGA house price grew by 8.8% to $1,320,000 and unit prices grew by 11.3% to $835,000. A slightly more affordable option is presented by the Norwest market, whilst still benefiting from opportunities for capital growth. The partial softening in Norwest’s house property market is on par with Sydney's cooling in property prices.
Rental yields in Norwest for house and units have been recorded at 2.7% (houses) and 3.7% (units) which is almost on par to Sydney's returns of 2.9% and 3.8%. The Norwest property market provides investors with a more affordable alternative location for investment outside of Sydney Metro.
Norwest is anticipated to see approx. $257.1M of new development commencing in 1st half of 2017. Mixed use projects for the majority of projects (46.2%) closely followed by residential (40.8%). Other projects take a focus on commercial and infrastructure developments which continues to provide a balanced future development portfolio, leading to sustainable ongoing growth.
A key mixed use project commencing in the 1st half of 2018 is Norwest Lake – Esplanade. The project is valued at $105.8M, anticipated to complete by late 2020. The project will deliver 247 units, 3 storeys of commercial space and 1 floor of retail space.Opportunity for employment growth is evident in the Norwest area, where unemployment rates are lower than NSW and the percentage of professionals are much higher. With a stronger weekly household income, residents in Norwest have a higher capability to own their properties outright and servicing mortgages, rather than renting.