Explosive Growth Suburbs: A Look Back at 2024
2024 was a remarkable year for Australia's property market, with several suburbs experiencing explosive growth in property prices. While national property prices rose by an average of 5.5%, some suburbs recorded gains up to ten times higher. PropTrack’s data highlights the hotspots that outperformed, with affordability emerging as a key driver.
Affordable Suburbs Lead the Pack
Elizabeth South, located in the northern suburbs of Adelaide, claimed the top spot with an extraordinary 56.7% increase in median house prices, reaching $470,000. Despite the sharp rise, the suburb remains accessible to first-home buyers and budget-conscious investors.
Other affordable suburbs that saw significant growth include:
Rockhampton City, QLD – Median house price: $345,000, up 50%.
Wagin, WA – Median house price: $272,000, up 49.3%.
Millmerran, QLD – Median house price: $365,000, up 46%.
These suburbs’ relatively low entry prices attracted buyers constrained by high interest rates, leading to intense competition.
Perth and Adelaide Dominate
The markets in Perth and Adelaide continued their strong performance. Outer suburbs like Hillman and Camillo in Perth recorded price jumps exceeding 40%, while Kelmscott’s unit prices rose over 50%. According to PropTrack senior economist Angus Moore, “Relative affordability is a major factor in these suburbs’ exceptional growth, especially as housing affordability remains at its worst level in three decades.”
Coastal Appeal Fuels Growth
Coastal suburbs also stood out. In South Australia, South Brighton’s median house price surged by 52% to $1.345 million, driven by demand from buyers priced out of neighbouring coastal areas like Glenelg and Brighton. Meanwhile, Byron Bay in New South Wales experienced a resurgence, with prices rising 45.5% to a median of $3.5 million.
Melbourne’s Top Performers
Greater Melbourne also had its share of growth suburbs. Tyabb, located on the Mornington Peninsula, led the charge with a 26.3% increase in house prices. Inner-city suburbs such as Middle Park, Hawthorn East, and Ivanhoe recorded gains of 18.5%, defying the city’s broader market trends. For units, Ashwood saw a 23.8% increase, followed by St Kilda West (20%) and Carlton (19.8%).
What’s Driving the Growth?
The surge in property prices is underpinned by a combination of factors:
Affordability: Buyers and investors are increasingly seeking value in outer suburbs and smaller cities.
Limited Supply: Low housing stock in key areas has driven prices upward as demand outstrips availability.
Lifestyle Preferences: Coastal and regional suburbs are benefiting from lifestyle-driven decisions, with buyers prioritising space and quality of life.
Looking Ahead
As we move into 2025, these trends highlight the resilience of affordable and lifestyle-oriented suburbs. Whether you’re a buyer, investor, or property enthusiast, staying informed about market dynamics can help you make smarter decisions.
For more details, check out the full article on realestate.com.au.
Interested in learning how these trends might impact your property investments? Contact us at Banksia Property Agency for expert advice tailored to the Melbourne market.