The 17 must-watch suburbs this year

These 17 ‘high conviction’ suburbs were nominated by at least two independent industry experts in the annual realestate.com.au Hot 100 list.

And only two of these suburbs - Mandurah in WA and Armidale NSW - were nominated by three experts for their desirability.

“I think the reason really is lifestyle, location and connectivity,” said PropTrack economist Anne Flaherty.

“They are both areas where the median price of a home is still relatively affordable and they offer a pretty good lifestyle, and are not too far from cities.

“For example, Armidale is quite close to places like Coffs Harbour.”

A state-by-state look at the suburbs with conviction

The Hot 100 was compiled by a panel of industry experts including the heads of major agency groups, buyer’s agents, researchers, investors and an academic, and complemented by PropTrack data and economic analysis.

Here's where they see the best growth opportunities for buyers in the year ahead.

Western Australia

Mandurah

Nominated by Kate Hill, Adrian Knowles, Dan White

Over the past year, Mandurah has been one of the country's best property performers. 

For starters, the coastal town south of Perth, with a median house price of $425,000, easily trumps Perth for affordability.

“Mandurah is always identified in the top regional property markets because of jobs, lifestyle, infrastructure spending - it’s just got everything,” Adviseable buyer’s agent Kate Hill said.

Mandurah south of Perth is one of the nation's top performing property markets. Picture: Getty

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As Perth’s property market has gone “berserk” over the past 18 months, those who have been outpriced have flocked to the suburb, one hour away.

“These outlying areas suddenly become very much more desirable, attractive and affordable,” Ms Hill said.

The other driver is population growth, she added, and the rollout of a multimillion dollar Transform Peel project will be a boon for the economy, creating over 30,000 jobs when it’s fully developed by 2050.

Richard Mathlin, licensee at LJ Hooker Mandurah, says interest in Mandurah is being driven by migrants from eastern states and internationally, lured by jobs and lifestyle.

“They see certainly with Mandurah the lifestyle is there for when they work as well as when they play,” he told realestate.com.au.

Investors from the east coast are still active in Mandurah, with some taking interest in new housing developments in areas like Madora Bay and Lakelands, he said.

Several factors suggest Mandurah’s property prices will continue to rise, according to PropTrack's Anne Flaherty.

These include affordability and proximity to Perth, surrounded by beautiful beaches.

“Perth is actually currently the fastest growing state in Australia for population growth,” Ms Flaherty said.

“In WA in particular, the suburbs with the most price growth are those located along the water and they're more highly valued, the closer they are to Perth.”

Mandurah's affordability has been a drawcard, with this modern three bedroom home listed with offers over $499,000. Picture: realestate.com.au

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Perth dwelling prices have grown 16% in the year to February, according to the latest PropTrack Home Price Index, the highest of all capital cities according to PropTrack.

PropTrack forecasts expect Perth to be Australia's best-performing capital city in 2024, followed by Adelaide, then Brisbane.

New South Wales

Armidale

Nominated by Linda Johnson, Adrian Knowles, Simon Pressley

Armidale, in northern NSW, is the only other suburb to have been nominated by three experts.

Armidale was nominated by three experts in the realestate.com.au Hot 100. Picture: Getty

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With a population of almost 24,000, the thriving inland city boasts industries such as agriculture, education, renewable energy, and tourism. 

Armidale is also popular for its good arterial connections, according to Real Estate Buyer’s Agents Association of Australia (REBAA) NSW representative Linda Johnson.

“Armidale sits itself almost right in between Sydney and Brisbane. It's kind of like a centre point,” she said.

Armidale, with a median house price of $489,500, is also a major education hub, with the University of New England, associated research centre and an emerging IT industry.

“There’s a lot of things going for it if you're wanting a tree change, it's quite a diverse style of living and very community oriented,” Ms Johnson said.

“It's quite undulating and a really pretty town. There’s a lot of horse riding, getting amongst nature, bush walks, hiking. If you rather the bush as opposed to the beach, it offers a lot of those lifestyle choices.”

Laing & Simmons Armidale director Lachie Sewell told realestate.com.au attractive rental yields have always been well supported by the university population, and currently sit around 5% or 5.5%.

But most recently, renewable energy projects and the promise of future jobs are expected to lift housing demand, he said.

A local council push to boost the population and lure industry to the area is also tipped to fuel interest.

“Obviously supply and demand creates many booms inside of the market,” Mr Sewell said.

The other NSW suburbs nominated by multiple experts were Glenmore Park and Mayfield.

Ms Johnson said Mayfield, on the Newcastle city fringe, is evolving from an old industrial area to a hip and trendy suburb coveted by renovators.

“Architects are getting hold of a lot of the old industrial buildings and redeveloping them into beautiful homes,” she said.

“Little supermarkets are also popping up, little trendy cafes and bakeries, playgrounds, dog parks. It's becoming its own real little community.

Mayfield on the Newcastle city fringe has been gentrifying rapidly with old weatherboard homes getting a new lease on life. Picture: realestate.com.au/buy

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“It reminds me very much of how the inner west of Sydney transformed, Mayfield's taking on that same sort of journey.”

Redevelopment is also being spurred thanks to easy road connections to Sydney, and location near the beach.

Mayfield has a median house price of $835,000 and rental demand is “huge” as people are priced out of nearby cities, Ms Johnson said.

In addition, new housing and infrastructure developments bode well for future growth and economic potential.

The suburb is also “active” with markets and community events, adding another drawcard, she added.

Queensland

Two experts chose the Queensland suburbs of Beaudesert, Maryborough, Petrie, Morayfield, Woolloongabba and Darling Heights.

Advisable buyer’s agent Kate Hill says Darling Heights is desired for its affordability, transport accessibility in and out of town and proximity to the university.

“It just ticks every box and it's just a very pleasant place to be,” she says of the suburb, which has a median house price of $554,000.

Victoria, South Australia and Tasmania

Watsonia, in Melbourne’s north east, was selected by two experts, as was South Australia’s Victor Harbor, Mount Gambier and Thebarton. 

Property prices in Victor Harbor have surged by 23% in the past year. Picture: Getty

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In Tasmania, the suburbs of Burnie, North Hobart and Invermay were nominated by two experts.

High conviction suburbs across Australia

View all 100 suburbs to make the 2024 realestate.com.au Hot 100 list here.

Originally posted at https://www.realestate.com.au/news/the-17-must-watch-suburbs-this-year/