Panania Property Market Update 2nd Half 2025
Panania in New South Wales is a family-friendly suburb that is located 23km south-west of Sydney and blends suburban tranquillity with city convenience. The area is well connected with excellent public transport and is home to a variety of schools and green spaces. With an active local business scene and laid-back appeal, Panania is an ideal family suburb.
Property Trends
In Q3 2025, Panania recorded a median house price of $1,612,000, and a median unit price of $1,300,000. This is an annual (Q3 2024 – Q3 2025) median price growth of 6.6% for houses and 32.9% for units.
Comparing Q3 2024 – Q3 2025, sales declined by -11.2% for houses (to 190 sales in Q3 2025) and surged significantly by 135.4% for units (to 113 sales in Q3 2025). A higher number of unit sales is due to its relative affordability to house prices and low stock of available houses. Combined with an undersupply of houses, this has created a buffer against higher interest rates, hence price growth for both property types. This suggests that now is an ideal time for owners to transact.
Project Development
Panania will see approximately $994.1M of new projects commencing construction in 2025 and 2026. Of this, 338 units/apartments, 11 townhouses, 35 dwellings, and 350 lots are planned, which will assist with the current demand.
That said, when comparing the number of new houses planned (35) and sold in Q3 2025 (190), this is not enough. The current undersupply in ready-to-sell stock will continue to push prices up, not only for houses but also other stock types.
Rental Market & Growth
House rental yields in Panania were 3.4% in September 2025, above the Sydney Metro’s 2.7% yield. This was paired with a 3.1% increase in median rent price in the past 12 months to Q3 2025, at $820 per week.
At the same time, the number of houses rented increased by 0.7%, to 152 rentals in Q3 2025, suggesting a highly demanded market. Thus, the house rental market in Panania creates an ideal investment opportunity; even if the median house sales price (thus, entry price) has increased in the past 12 months to Q3 2025.
Vacancy Rates & Property Investment
Panania recorded a vacancy rate of 0.4% in September 2025, which is slightly below the Canterbury-Bankstown LGA’s 0.9% and Sydney Metro’s 1.3% average. Vacancy rates in Panania have fluctuated slightly in the past 12 months but overall shown a declining pattern. This suggests an even tighter rental market.
Furthermore, a 0.4% vacancy rate is significantly below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, which indicates quicker occupancy of rental homes. This is beneficial for investors.
