Port Stephens Property Market Update 1st Half 2026
Port Stephens is a costal sanctuary located 2 and a half hours north of Sydney and is home to 26 golden beaches and sea-side activities. The area includes the charming seaside villages of Nelson Bay, Shoal Bay and Anna Bay. With a laid-back lifestyle but still home to all the modern conveniences, Port Stephens is ideal for families.
Property Trends
In Q1 2026, Port Stephens recorded a median house price of $1,260,000, and a median unit price of $750,000. This represents an annual (Q1 2025 – Q1 2026) median price growth of 13.0% for houses and by 7.1% for units. Between Q1 2025 – Q1 2026 house sales increased, by 21.3% (to 108 for houses in Q1 2026) and by 32.3% (to 86 sales in Q1 2026). The house and units' market are currently in high demand, which creates a buffer against higher interest rates in 2026. This suggests that now is still an ideal time and opportunity for owners to capitalise on their investments. There is a high number of units in the 2026–2027 construction pipeline, providing buyers with more options.
Project Development
Port Stephens will see approximately $245.5M of new projects commence construction in 2026 and 2027. Of these, there are 229 units, 32 townhouses, 12 dwellings and 47 lots to help assist with the current demand. That said, it is not enough compared to Q1 2026 house sales (108 sales). This suggests house prices will likely remain high, with a spill-over effect in the unit market demand and price growth.
Rental Market & Growth
House rental yields in Port Stephens were 3.1% in March 2026, slightly lower than Port Stephens LGA (3.4%) but higher than Sydney Metro (2.8%). This was paired with a 10.7% increase in median house rental price in the past 12 months to Q1 2026, at $775 per week. The number of houses rented also increased, by 4.3% in the past 12 months, to 96 rentals in Q1 2026. The rental market in Port Stephens is in high demand, which is extremely beneficial to investors.
Vacancy Rates & Property Investment
Port Stephens recorded a vacancy rate of 1.4% in March 2026, higher than Port Stephens LGA 1.0% and Sydney Metro 1.1% average. That said, vacancy rates in Port Stephens have declined slightly in the past 12 months, which suggests a tighter rental market. Further, a 1.4% vacancy rate is still well below the Real Estate Institution of Australia’s healthy benchmark of 3.0%. This suggests quicker occupancy of rental homes in Port Stephens. The investment environment remains conducive for investors, even with a higher house sales price (thus, entry price) in the past 12 months to Q1 2026.
