Tamworth Property Market Update 2nd Half 2025
Tamworth is a vibrant regional city located in the New England Region of New South Wales. It is known as the country music capital of Australia and boasts a rich history in a beautiful rural atmosphere. With plenty of amenities like schools, parks and shopping areas, Tamworth is an ideal location for those looking to build a fulfilling lifestyle.
Property Trends
In Q3 2025, Tamworth recorded a median house price of $595,000, and a median unit price of $382,500. This represents an annual (Q3 2024 – Q3 2025) median price growth of 13.9% for houses and 4.1% for units.
Total sales increased by 3.3% for houses (to 285 sales in Q3 2025) and surged by 75.0% for units (to 35 sales in Q3 2025). The surge in unit sales is due to its relative affordability to house prices and low house stock. As a result, house buyers are diverting to units. There is a highly demanded property market in Tamworth, thus, an ideal time for owners to transact.
Project Development
Tamworth will see approximately $88.4M of new projects commencing construction in 2025. The Servies Group Tamworth Redevelopment Stages 1–3 ($25.7M) is a key mixed-use project and will stimulate the local economy through job creation.
There is new residential stock in the pipeline for 2025, of 11 dwellings and 87 lots. However, compared to Q3 2025 sales (285 houses and 35 units), this is not enough to satisfy demand. This will cause a further undersupply in the market, pushing prices up for all stock types.
Rental Market & Growth
House rental yields in Tamworth were 3.1% in September 2025, lower than the Tamworth LGA (4.4%) but higher than Sydney Metro (2.7%). This was paired with an 11.1% increase in median house rental price in the past 12 months to Q3 2025, at $500 per week.
The number of houses rented declined by -14.7%, to 307 rentals. The same pattern is evident in the unit market, which suggests an overall undersupply in the Tamworth rental market. This is beneficial for investors looking for an affordable investment option to Sydney Metro.
Vacancy Rates & Property Investment
Tamworth recorded a vacancy rate of 1.0% in September 2025, on par with Tamworth LGA’s 1.0% average, and below the Sydney Metro’s 1.3% average. Vacancy rates in Tamworth have increased in the past 12 months, due to a higher number of investors entering the market.
However, a 1.0% vacancy rate is still well below the Real Estate Institution of Australia’s healthy benchmark of 3.0%, indicating quicker occupancy of rental homes. This is a conducive environment for investors, even with a higher house and unit sales price (thus, entry price) in the past 12 months to Q3 2025.
