2024 median house and unit prices for Sydney Suburbs

The dream of home ownership in Sydney is fading for many as rising property prices and interest rates push dozens of suburbs out of reach for average earners.

A new report by CoreLogic reveals that in just two years, median house values in 109 suburbs have become unaffordable for a typical double-income household. This represents a staggering 70% decrease in accessible suburbs.

The impact is felt across various regions, including the inner and outer southwest, Sutherland, Parramatta, and Blacktown. Even unit buyers face a limited selection, with 71 fewer suburbs within their budget.

The culprit? The "double whammy" of surging property prices and increasing interest rates. While some suburbs have seen price dips, these haven't been enough to offset the affordability squeeze caused by higher borrowing costs.

Experts warn of a widening gap between Sydney's wealthy east and the west. Suburbs previously considered affordable are now out of reach, pushing the "latte line" - the socioeconomic divide - further south.

This situation has significant consequences. It fuels social tension and inequity as homeownership becomes an exclusive privilege. Potential buyers struggle to enter the market, and those who do must make significant compromises, like Sharran Sreekant who had to move to a different suburb to find a suitable house within his budget.

The outlook isn't promising. With interest rates expected to rise further, the number of affordable suburbs is likely to shrink even more. This could have long-term ramifications for Sydney's social fabric.

Resources Used:

• Corelogic

• The Sydney Morning Herald