Panania and surrounds Property Market Update 2nd Half of 2019

In Q3 2019, Panania, which in this report refers to aggregate suburbs of Panania, East Hill, Padstow, Picnic Point, Revesby, and Milperra; recorded a median house price of $952,500, and a median unit price of $808,000. This represents annual (Q3 2018 – Q3 2019) price softening of -0.3% for houses and growth of 12.9% for units. Total sales slowed by -12.3% for houses (135 sales) and increased by 186.2% (83) sales. The unit market is strong, whilst the house market is in recovery. Now is the time to transact in the market.

Average vendor discounts between Q3 2018 and Q3 2019 have swung to a premium of 2.6% for houses and tightened to -1.5% for units. Market conditions in Panania, and its surrounds have shifted to favour sellers, particularly house sellers as they achieve final sale prices above initial list price. Unit buyers can enjoy a discount but need to act quickly.

Over the past 12 months, house rental yields in Panania, and its surrounds increased slightly to reach 3.3% in June 2019; above Sydney Metro’s 2.9%. This suggests the house rental market is in a healthy position, as does the decrease in average days for houses to let across the same time period (down by -7.4% to 25 days in the 12 months to Q3 2019).

4+ bedroom houses have provided investors stable rental returns annually, achieving a median rent of $680 per week.

Panania, and its surrounds recorded a vacancy rate of 1.6% in June 2019, representing a declining trend over the past 6 months and is well below Sydney Metro’s 3.5% average. This confirms there is a solid rental demand within the area.