Luxury homes are continuing to lure buyers with the number of Australian multi-million-dollar suburbs expected to double again this year.
The number of suburbs with a median over $3 million doubled in 2020 and could double 2021 according to the latest REA Insights report.
The luxury property market was propelled by an increase in total household wealth, which saw the Australian Bureau of Statistics report a record high in November 2020.
Almost all of the 30 high priced suburbs are located in Sydney with the exception of Forrest in Canberra which entered the list for the first time with prices growing by 16.4 per cent in 2020.
However there is a wide list of potential newcomers to the $3 million-plus club outside NSW including Victoria’s Mont Albert, Portsea, St Kilda West, Flinders and Brighton.
Queensland has one entrant with the potential to join the list after a number of $3 million plus sales in 2020 in Main Beach on the Gold Coast.
Multi-million-dollar growth suburbs
|Queenscliff NSW 2096||$3,967,500||59.0%|
|Whale Beach NSW 2107||$5,201,000||55.3%|
|Kirribilli NSW 2061||$3,827,500||44.4%|
|Woollahra NSW 2025||$3,700,000||34.5%|
|Clovelly NSW 2031||$3,682,500||33.8%|
|Killara NSW 2071||$3,275,000||30.9%|
|East Lindfield NSW 2070||$3,000,000||23.8%|
|Northbridge NSW 2063||$3,650,000||23.3%|
|Mosman NSW 2088||$4,287,500||19.1%|
|Hunters Hill NSW 2110||$3,200,000||18.5%|
^Source: REA Insights, Property Outlook Report February 2021
Realestate.com.au chief economist Nerida Conisbee said of the 30 suburbs only five saw a decline in value, the majority of the list saw a double digit growth.
“One theory is that offshore luxury expatriate buyers were one driver of the accelerating luxury market,” Conisbee said in the report.
“Although, data is hard to come by, anecdotal evidence supporting this theory is strong.
“Towards the end of 2020, views per listing on realestate.com.au for homes priced over $10 million had increased by 150 per cent compared to prior to the pandemic.
“While the increased demand may be explained by people stuck at home browsing beautiful properties online, median price increases in Australia’s most expensive suburbs suggests otherwise.”