Luxury units lift prices
Real Estate Institute of NSW quarterly statistics show that Sydney's median unit price increased by 17 per cent to $312,000 over the past year, with the big increase mostly limited to the new-unit market. Other factors contributing to the rise have been the price of vacant land for developers and more discerning buyers. The price boost caused by the building blitz has been concentrated around the suburbs of Burwood, Auburn, Liverpool, Fairfield and Marrickville.
The median unit price in Marrickville rose by 37 per cent to $272,000 last year due to finalised new developments, with the lower quartile median being $215,000 and the upper quartile median being $337,000. One particular development in Marrickville – Cecilia Gardens, with 101 units – has set new price standards for that suburb. Prices for two-bedroom units increased from $295,000 at the off-the-plan stage to $340,000 nearing completion, and agent Csaba Pirko says that resales have been even higher.
In total, 6,300 units were sold in the March quarter across Sydney, a figure not much lower than the 6,800 house sales. The president of the Real Estate Institute of NSW, Chris Fitzpatrick, says that this indicates there is no longer consumer resistance to unit living that existed five years ago. Developers are providing a better product now, he said.