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The 10 fastest-growing suburbs in Sydney for 2025

While Sydney’s 2025 median house price growth is forecast at around 3 per cent, these 10 suburbs are set to give investors a capital gain of over 5 per cent in the next six months.

sydney suburbs lw

A new Shore Financial State of Sydney Report has found the next 10 locations that are “bucking the norm” and set to experience strong growth by mid-2025.

Each quarter, the Shore Financial report analyses the city’s 600-plus suburbs, dividing them into five quintiles based on their current median asking price for houses and selecting the top five suburbs in each division.

The five quintiles are:

Quintile 1 - Heartland Sydney

Quintile 2 - Suburban Sydney

Quintile 3 - Rising Sydney

Quintile 4 - Professional Sydney

Quintile 5 - Affluent Sydney

Shore Financial CEO, Theo Chambers, said the housing market in Greater Sydney has remained stable over the past year, with the median house price rising 5.2 per cent in 2024.

“While overall growth has been modest, certain suburbs have experienced more pronounced price increases, highlighting pockets of strong demand across the city,” he said.

The report showed that the five leading suburbs for this quarter are Glenmore Park, Kings Park, Belmore, Gymea, and Canada Bay.

Chambers said that house prices in the top five locations are forecast to grow over 5 per cent in the six months to August.

“Stronger growth locations in 2025 can be found across the city – while they’re occurring across a range of pricepoints, they do have one thing in common, which is low days on market and limited supplies of inventory, which means buyers in those markets are feeling a sense of urgency.

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“If you’re a buyer, it’s important you understand whether conditions in your target suburb are favouring buyers or sellers, because that will influence your pricing and negotiating strategy.”

According to Chambers, the February Reserve Bank of Australia rate cut will change Sydney’s market dynamics, despite not immediately, improving serviceability and affordability.

“It will give an immediate lift to confidence and sentiment, which play an equally important role in influencing property prices.

“If and when further rate cuts occur, that will make a meaningful difference to serviceability, because buyers’ borrowing capacities will improve significantly in line with the substantial fall in repayments.”

He said serviceability and borrowing capacity will have a direct impact on Sydney’s house prices, especially in suburbs where affordability pressures have impacted demand.

“If rates fall faster and further than currently expected, the resulting boost in buyer activity could drive stronger price growth across Sydney in the next six months than current data suggests,” he said.

While Chambers cannot predict whether there will be further rate cuts, he said the top 10 suburbs are already experiencing buyers’ competition and sustained demand.

Here are the top 10 performing suburbs in Sydney (from Quintile 1 to 5):

Glenmore Park

Median house price: $1,155,000

Median price growth over past 12 months: 9 per cent

Forecast growth over next six months: Over 5 per cent

Cambridge Park

Median house price: $905,000

Median price growth over past 12 months: 9 per cent

Forecast growth over next six months: Over 5 per cent

Kings Park

Median house price: $1,200,000

Median price growth over past 12 months: 12 per cent

Forecast growth over next six months: Over 5 per cent

Toongabbie

Median house price: $1,301,000

Median price growth over past 12 months: 12 per cent

Forecast growth over next six months: Over 5 per cent

Belmore

Median house price: $1,700,000

Median price growth over past 12 months: 10 per cent

Forecast growth over next six months: Over 5 per cent

Yarrawarrah

Median house price: $1,420,000

Median price growth over past 12 months: 8 per cent

Forecast growth over next six months: Over 5 per cent

Gymea

Median house price: $1,700,000

Median price growth over past 12 months: 6 per cent

Forecast growth over next six months: Over 5 per cent

Leichhardt

Median house price: $1,970,000

Median price growth over past 12 months: 4 per cent

Forecast growth over next six months: 3–4 per cent

Canada Bay

Median house price: $2,700,000

Median price growth over past 12 months: 9 per cent

Forecast growth over next six months: Over 5 per cent

Dulwich Hill

Median house price: $2,230,000

Median price growth over past 12 months: 6 per cent

Forecast growth over next six months: Over 5 per cent

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