Inner North Property Market Update 1st Half of 2020
In Q1 2020, the Inner North recorded a median house price of $940,000, and a median unit price of $445,000. This represents annual (Q1 2019 – Q1 2020) median price growth of 8.7% for houses and a price softening of -6.3% for units. Between Q1 2019-Q1 2020 total house sales were down by -5.0% to 76 sales, while units saw a slight uplift by 5.5% to 211 sales. There is an ongoing opportunity to enter the growing Inner North property market for both owner occupiers and investors alike.
Average vendor discounting between Q1 2019 and Q1 2020 has swung to -0.1% for houses and has tightened to -0.6% for units. Market conditions in the Inner North currently favour buyers, where sellers are willing to negotiate slightly below their initial first listing price. Now remains an ideal time to both buy and sell.
Over the past 12 months, house rental yields in the Inner North increased strongly to reach 4.5% in December 2019. This suggests the house rental market is in a healthy position, as does the increased demand for rental properties in the Inner North across the same time period (up by 10.8% in the 12 months to Q1 2020).
2 bedroom houses have provided investors with +11.5% rental growth annually, achieving a median rent of $535 per week.
The Inner North recorded a vacancy rate of 1.9% in December 2019, which is still quite a healthy position despite being slightly above Canberra Metro’s 1.7%. Vacancy rates in Inner North has remained relatively steady over the past 12 months, which confirms there is a healthy rental demand for properties in the area.