The number of million-dollar suburbs is on the rise
In the past five years, the number of suburbs with a median price of $3 million-plus has tripled, mostly driven by the astonishing growth experienced in 2021.
In the past five years, the number of suburbs with a median price of $3 million-plus has tripled, mostly driven by the astonishing growth experienced in 2021.
By May 2022, 126 suburbs were in the $3 million club, the highest number on record.
Eight regional suburbs made the list, including Mermaid Beach on the Gold Coast, Gerroa in Illawarra NSW, and of course, Byron Bay.
During the latter part of 2022, prices began falling across the country. Several premium suburbs fell below the $3 million mark, resulting in 32 per cent fewer suburbs in the illustrious club.
However, with prices rebounding and a strong spring selling season in full swing, many suburbs are rejoining the club or entering it for the first time.
Middle Cove, Lane Cove, and Bayview in Sydney have all seen their prices grow above $3 million after falling below in late 2022.
Chandler in Brisbane, St Kilda West in Melbourne and Sylvania Waters in Sydney have all joined for the first time.
Eleven suburbs are still sitting below the threshold they once attained, including Byron Bay, Cottesloe in Perth and Edgecliff in Sydney. But if recent price growth is anything to go by, many of them will reach $3 million again in only a few months.
Based on the average monthly growth over the past three months, Abbotsford in Melbourne, and Church Point, Newport, and Paddington in Sydney, will all be above $3 million by the end of the year. As of the end of August, there were 86 suburbs in the $3 million dollar club, and unsurprisingly 74 of those suburbs were in Sydney.
What is most surprising is that at the start of the pandemic in March 2020, there were only 23 suburbs on this list, showing just how phenomenal price growth has been over the past few years, especially in Sydney.
There are seven suburbs in Melbourne on the list, with Toorak being the most expensive at $5.9 million, followed by Portsea and Canterbury.
A property at 61 Clendon Rd, Toorak, that sold for an undisclosed sum in June represented the second most expensive sale of the year so far.
There are now suburbs representing Brisbane, Perth, and Canberra on the list, covering 17 regions across the country.
Dalkeith and Peppermint Grove are the only two suburbs in Perth currently in the club. Dalkeith has a median price of $3.2 million, and Peppermint Grove’s is $5 million.
The only suburb in Canberra to make it onto the list is Forrest, with a median price of $3.8 million.
Brisbane has Chandler and Teneriffe, with medians of $4.25 million and $3.05 million.
Of all the suburbs on the list, the two with the highest median house prices are Tamarama and Vaucluse, both at $8.6 million.
The year’s most expensive sale so far is 31 Gaerloch Ave, Tamarama, which went for a staggering $45 million.
With sales this high, it is only a matter of time before one of these suburbs sets a new threshold.
