Purchasing an affordable house in the perfect location with affordable median house prices is challenging for any buyer in Sydney. First-home buyers have it harder than most. However, it’s not impossible. We’ve gathered the top 10 Sydney suburbs for first home buyers.
Top suburbs for the first home buyers
Despite sky-high house prices in Sydney, there are plenty of affordable options for first-time buyers. Our chosen picks are best for the first home buyer as they have a relatively low purchase price, growth prospects, and excellent locations.
Median price: $777,500
Bradbury offers excellent employment opportunities with significant infrastructure and transport links. Home to Campbelltown Hospital, Western Sydney University, Macarthur Square Shopping Centre, and Campbelltown Mall, you’ll find plenty of workplaces and amenities to suit young buyers.
The suburb also promises rising house prices – perfect for the first home buyer.
Median price: $850,000
With house prices increasing 16.4% in the last twelve months, Doonside offers incredible potential for the first home buyer. Doonside’s relatively affordable houses benefit from significant infrastructure, including the new airport. Doonside is near the Blacktown CBD and sits on the commuter train line.
Median price: $864,000
With excellent infrastructure and employment opportunities, Kingswood is between the Penrith CBD and Western Sydney University. Kingswood has a commuter train station and an intersection of motorways providing good transport links. House prices are relatively affordable with strong growth potential.
Median price: $914,000
Lurnea is a well-connected suburb near a motorway intersection and convenient train stations. Lurnea is home to big business parks and industrial estates, providing plenty of job opportunities.
There are several local schools and all the essential amenities. House prices have recently jumped.
5. Mount Druitt
Median price: $910,000
Mount Druitt is an up-and-coming suburb with increasing house prices and rising demand. Plenty of existing facilities and planned infrastructure further drive property prices. However, median unit prices are affordable. The suburb has a major hospital, an education campus, a shopping centre, sports amenities, major green spaces, and a commuter train station.
6. St Marys
Median price: $865,000
St Marys is well connected, sitting on the commuter rail, Great Western Highway, and the M4 Western Motorway. Just one stop from Mount Druitt, first-home buyers can benefit from job opportunities while enjoying even more affordable house prices. The area is home to many schools, sports facilities, and shopping centres. Therefore, house sales are increasing in recent years.
Median price: $810,000
There are plenty of decent-sized units for a decent median unit price and houses in Ashcroft for the first home buyer. The suburb also boasts readily available public transport, green spaces, and a family-friendly environment. Plus, with plenty of local amenities, it’s perfect for first-home buyers.
8. Marsden Park
Median price: $1,158,590
With extraordinary price growth in the last two years, Marsden Park is slightly more expensive but promises excellent capital growth potential for first-home buyers. Marsden Park is a family-friendly suburb with affordable, well-located apartments, excellent shopping opportunities, relatively affordable units, cafes, sports facilities, and parks. It also offers good public transport links.
Median price: $910,000
Blacktown is a diverse and culturally rich suburb in Sydney’s west with plenty of exciting opportunities for first-home buyers. Many affordable properties have strong market value growth potential and good commuting links. Blacktown also has a lot of facilities and amenities.
10. Oran Park
Median price: $1,105,000
Market prices in Oran Park are rising quickly but remain relatively affordable. There is a lot for first homeowners to love, from a young population to an exciting shopping centre. With good commuter links and excellent market growth potential, Oran Park is a perfect choice for a first-time buyer’s residential property.
Tips for first home buyers
- Look into the first homeowner grant. In New South Wales, first home buyers are eligible for $10,000 to buy an established home or build a new property.
- Consider rentvesting if your dream home is in an unaffordable location. This entails buying a property in a cheaper area with a relevant credit provider while renting your place of residence in a more desirable location.
- Don’t rule out apartments. Units are often available for a good median unit price and more central than houses.
- Ask your parents to sign a guarantor loan or help you save a deposit to get better home loan rates. You need a 20% deposit to avoid Lenders’ Mortgage Insurance.
- Think long-term – while you might be choosing a home for the present, don’t forget that buying a property is a long-term investment.
- Build your credit score to get better interest rates.
How to buy your first home
As an Australian citizen or permanent resident, you can buy any property you wish. First-time buyers should consider relevant grants, schemes, as well as financial or credit product options to help them climb the property ladder. To buy your first home:
- Shop around: Look at different suburbs throughout Sydney to find an affordable property with good capital growth potential. Ensure it’s somewhere you would enjoy living with plenty of employment opportunities.
- Home loan: Consider how you will finance your dream property. Speak to a mortgage broker or credit provider about home loan options for first-time buyers. Apply to your chosen home loan with suitable monthly repayments.
- Make an offer: With home loan pre-approval, make an offer to the homeowner of your prospective property.
- Conveyancing: Enlist a conveyancer or solicitor to draw up a sales contract and supporting documents before settling.
Buying your first home
Despite house prices sometimes seeming impossibly unaffordable, there are plenty of excellent opportunities throughout Sydney. As a first home buyer, you often don’t have to pay stamp duty, and you might benefit from the first homeowner grant. Speak to a Sydney mortgage broker about the first homeowners’ grant eligibility criteria and your potential loadn amount to realise your real estate dreams.
What are first home buyers entitled to in NSW?
First home buyers might be eligible for $10,000 to buy an existing home or vacant land to build a property. Alternatively, the NSW government also offers the First Home Buyer Assistance Scheme. Eligibility criteria state that you move into the new home within a year of buying the property and live there for a six-month period.
How much is the First Homeowner Grant?
The first homeowner grant is up to $10,000 assistance for first home buyers to purchase a newly built property or vacant land to build. At least one applicant must be a first-time buyer. The home must be their principal place of residence.
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