Key Growth Suburbs In Australia #6 Byron Bay

Byron Bay

The world-renowned beachside town of Byron Bay is one of Australia’s key growth suburbs, in addition to being one of our country’s most popular holiday destinations. If you are looking to invest in high-end property in the fastest-growing property market in Australia, look no further than Byron Bay and its surrounding areas.

According to realestate.com.au, median property prices over the last year range from $2,845,000 for houses and $805,00 for units. Houses in Byron Bay rent out for $938 per week, with an annual rental yield of 1.7%. Units rent for $720 per week, with a rental yield of 4.8%. Based on five years of sales, Byron Bay has seen a compound growth rate of 23.4% for houses and 4.4% for units.

In 2020, Byron Bay took the crown for the highest house price growth of any suburb in the country, with prices soaring by an astonishing 37%, according to Domain. The rapid growth in 2020 prompted a spillover effect in neighbouring towns, with the median house price in the Byron Shire – which stretches from Broken Head to Mullumbimby – rising 26% in 2020.

According to property expert Terry Ryder, property price growth in 2021 has been beyond impressive in many locations across Australia. In Byron Bay alone, the median house price continued to rise, going from $1,835,000 to $2,220,000. Research from CoreLogic highlights the real estate price growth in the Richmond Valley coastal region which incorporates Byron Bay and the regional centre of Ballina, and stretches from Ocean Shores in the north to Evans Head in the south, and includes villages such as Bangalow and Mullumbimby. According to CoreLogic, it’s the fastest-growing property market in Australia. Housing values increased by 27% from April 2020 to the end of April 2021 and the median house value across the region, at $1.113 million, is closing in on Sydney’s $1.147 million.

Market TrendsAccording to realestate.com.au, this table represents median property prices in Byron Bay, providing you with an overview of how prices have changed from October 2020 to September 2021.

According to the Australian Bureau of Statistics, population growth has also surged across regional Australia with 233,000 people moving out of capital cities last year. Of course, Byron Bay and its surrounding areas had strong house price and population growth for at least two decades before the pandemic struck, although, COVID-19 accelerated the phenomenon. Byron Bay has become a symbol of post-pandemic population and housing growth.

CoreLogic’s national research director Tim Lawless said the rapid rate of house price increase was due to the region’s popularity with sea-changers and holiday home buyers and the sheer scarcity of housing—
“No doubt the brand value associated with Byron Bay is another factor driving demand…and the proximity to the Gold Coast, the closest major employment hub, also helps, as does the convenience of Coolangatta Airport.”

PopulationAccording to the 2016 census, Byron Bay had a permanent population of 9,246. In addition, the broader Byron Shire (including Bangalow, Suffolk Park, Main Arm, and others) has a population of approximately 30,000 people.

According to Byron Shire Council, more than 2.2 million people visit the area every year.

With property in the Byron and surrounding areas being scarce, and with city-dwellers looking for a sea-change now that working from home has become the new normal, the ongoing population growth that this area is seeing is driving property prices upwards. While this trend is suspected to slow, property prices are only going to continue to climb. If you are looking for a high-end investment, Byron Bay is the key growth area you want to look into.

If you’d like to learn more about Australia’s key growth suburbs, click on one of the following suburbs - Forster, Corio, Coolum Beach, Lovely Banks, Indooroopilly.

‍