Affordable Australian suburbs for first home buyers

By Kirsten Jelinek and SSB
Finding an affordable property close to the city can be a hard request, but new data gives a glimmer of hope.
Affordable Australian suburbs for first home buyers
Bargain house hunters across Australia have been urged to consider buying outside the city centre to break into the fast-paced housing market. 

Instead, suburbs an hour from each state and territory’s central business district are being hailed for their amenities, lifestyle and affordability. 

South Australia was the most affordable state for buyers looking to purchase a home or unit less than 40km from the city, according to data from PropTrack. 

In the suburb of Elizabeth South, located 21km from the capital of Adelaide, buyers can score a home with a median sale price of only $221,068. 

Alternatively in nearby Elizabeth Vale, the median sale price for a unit – also 21km from the CBD – will put buyers back only $146,173. 

Single mother Kellie Walduck, 34, recently bought a home in Elizabeth Vale, South Australia, for around $340,000 after renting with her toddler. 

“For 12 months I’ve been looking for either other rentals or to buy, but with the cost of rentals it makes more sense to just buy and pay your own mortgage,” she said. 

The account manager couldn’t be happier with her decision to move to Elizabeth Vale, claiming “you couldn’t pay me enough to live in the city”. 

“The reason I’m in this area is because of affordability,” she said. 

“My house is also 15 to 20 minutes to work and it’s about 20 minutes to where my little one lives with my ex [partner]. So I needed to be somewhat close, as I was using a tank or two tanks of fuel a week just to travel [when renting].” 

Ms Walduck said she hasn’t sacrificed anything by moving away from the city, as her home is close by to shopping centres, a cinema, schools and ample public transport. 

“We have a huge backyard space, decent bedroom sizes and a lock up garage so it’s safe, especially being a single mum with a little one,” she said. 

Mortgage Choice Mortgage Broker Caroline Jean-Baptiste said when looking to buy a property, if the area doesn’t tick every box “it still may be a desirable suburb for other factors”. 

“Maybe it’s got a great shopping centre there, or maybe it’s got a good school, or it’s a new suburb, or it’s affordable,” she said. 

“But not every suburb is always going to meet this list of criteria, because the ones that tick every single box, they’re probably unaffordable.” 

Ms Jean-Baptiste said buyers need to be realistic when buying their first home, as it’s not necessarily a “forever decision”. 

“Your first home is a stepping stone into the property market and once you’re in the market, it becomes easier to upgrade to your dream home,” she said. 

“It’s really easy to get discouraged because the property market is going crazy, but if you give up now, you’ll never get in so it just means you have to adjust your expectations.” 

For buyers looking to purchase their first home, Western Australia offers homes less than 33kms away from the inner city for under $300,000. 

Medina, where the median sale price is $279,338, Armadale ($283,982), and Castillo ($294,611) were in the top affordable suburbs an hour from Perth. 

Meanwhile in Tasmania, house hunters can score a home with a median sale price of $334,660 in Gagebrook, only 16km from Hobart. 

Further out in Herdsmans Cove, the median sale price is $359,608 and while Risdon is only 9km from the CBD, house prices rise slightly to an average of $409,105. 

News South Wales has the highest median sale price of $709,508 for a house in Hebersham, 38km away from Sydney. Alternatively for a unit 13km from the city, buyers can purchase in Lakemba for a median sale price of $394,005. 

Victoria has the second highest median sale price of $514,18 for a house in Kurunjian, 38km from Melbourne. The following suburbs Bangholme ($448,835), Melton ($472,114) and Melton South ($507,444) came out as the next affordable suburbs an hour from Melbourne. 

In the Northern Territory, the suburbs Moulden, Gray, Woodroffe, Driver and Berry Springs offers buyers the lowest median sale price for a home less than an hour from Alice Springs 

In Queensland the suburbs of Stapylton, Riverview, One Mile alongside Lamb and Macleay Island landed in the state’s top 5 most affordable within 40km of the city. 

Director Economic Research at PropTrack Cameron Kusher, said a lot of first home buyers are moving out to areas an hour from each state’s CBDs “because the price is lower.” 

“Investors also look in these markets, because you do tend to find rental yields on the outskirts of cities tend to be much greater than they are closer into the city centre.” 

“Covid has also driven some people who already own homes to move to these areas, if they are looking for that lifestyle, but also don’t need to go back into the office as regularly as they used to.” 

Mr Kushner said demand has pushed prices higher in these outer suburbs over the last five years. 

“They have increased in popularity and since the onset of the pandemic we have seen more affordable suburbs in most cities outperform, in terms of price growth, in the areas closer into the city,” he said. 

When it comes to searching for your next property, Mortgage Choice Mortgage Broker Caroline Jean-Baptiste said buyers should check with their mortgage broker every six to 12 months. 

“You need to continually check in with your mortgage broker to see if you qualify for any more recent grants and make sure that you’re not missing anything.” 

“The market is changing all the time, lending is always changing, the incentives are always changing and staying on top of what you’re entitled to.” 

Cheapest suburbs an hour from CBDs for houses and units 

New South Wales – Houses 

Bidwill – $567,472 

Emerton – $641,267 

Blackett – $644,448 

Whalan – $668,022 

Hebersham – $709,508 

New South Wales – Units 

Stanhope Gardens – $327,275 

Chullora – $330,695 

Carramarr – $340,620 

Fairfield East – $370,278 

Lakemba – $394,005 

Northern Territory – Houses 

Moulden – $383,943 

Gray – $423,336 

Woodroffe – $455,205 

Driver – $457,674 

Berry Springs – $486,106 

Northern Territory – Units 

Woodroffe – $223,895 

Wagaman – $240,936 

Gray – $246,517 

Moulden – $252,120 

Malak – $260,352 

Queensland – Houses 

Stapylton – $226,259 

Lamb Island – $302, 155 

Riverview – $302,164 

Macleay Island – $312, 484 

One Mile – $319,602 

Queensland – Units 

Woodridge – $203,459 

Logan Central – $208,574 

Eastern Heights – $209,841 

Riverview – $211,217 

One Mile – $222,048 

South Australia – Houses 

Elizabeth South – $221,068 

Elizabeth North – $243,045 

Davoren Park – $250,568 

Smithfield Plains – $261,293 

Gawler West – $275,377 

South Australia – Units 

Elizabeth Vale – $146,173 

Elizabeth – $164,476 

Hillier – $179,252 

Elizabeth South – $185,763 

Ingle Farm – $201,183 

Tasmania – Houses 

Gagebrook – $334,660 

Herdmans Cove – $359,608 

Risdon Vale – $409,105 

Bridgewater – $411,239 

New Norfolk – $403,991 

Tasmania – Units 

Bridgewater – $332,278 

New Norfolk – $415,548 

Brighton – $451,407 

Claremont – $454,096 

Huonville – $457,835 

Victoria – Houses 

Bangholme – $448,835 

Melton – $472,114 

Melton South – $507,444 

Coolaroo – $507,501 

Kurunjang – $514,184 

Victoria – Units 

Albion – $297,792 

Melton South – $348,363 

Caulfield East – $348,386 

Melton – $362,780 

Travancore – $371,431 

Western Australia – Houses 

Medina – $279,338 

Armadale – $283,982 

Camillo – $294,611 

Calista – $297,702 

Orelia – $303,463 

Western Australia – Units 

Orelia – $162,521 

Wanneroo – $162,881 

Parmelia – $174,993 

Calista – $194,264 

East Rockingham – $210,892 

Buyers Benefit at SSB 

There is a new Aussie real estate platform, there are no registration or listing fees, no monthly or annual costs and no marketing charges saving owners, sellers, developers, investors and agents thousands on each listing. 

Buyers and renters benefit from the competitive savings owners, developers, investors and agents can pass on to BUYERS for a win, win, win deal. 

Importantly buyers, investors and renters can be confident that every property listed with SSB has accurate details and the sale prices and rent cost are displayed upfront. 

And Buyers and Renters make  “Direct Contact” with the decision maker for viewings, negotiations and getting the deal done saving more time and money. 

See Property News at SSB

SSB is Not an agent, reseller or lead generator, we are an Australian owned FREE service providing an additional online real estate channel that adds significant market reach, exposure and capture for sellers, buyers, renters agents and developers. 

 Have a look at  (SSB).