In Q1 2023, Wagga Wagga* recorded a median house price of $569,500, and a median unit price of $337,500. This represents annual (Q1 2022 – Q1 2023) median price growth of 10.3% for houses and 8.5% for units. However, on a quarterly basis (Q4 2022-Q1 2023) median prices softened by -1.0% for houses and -2.2% for units. These trends suggests cash rate hikes translated into the market. Total sales declined between Q1 2022 – Q1 2023, by -31.9% (to 226 sales) for houses, while total sales for units increased by 6.3% over the 12 month period (to 34 sales). New opportunities now exist for buyers.
Key Findings
1. In Q1 2023, Wagga Wagga recorded a median house price of $569,500, and a median unit price of $337,500. This represents annual (Q1 2022 – Q1 2023) median price growth of 10.3% for houses and 8.5% for units. However, on a quarterly basis (Q4 2022-Q1 2023) median prices softened by -1.0% for houses and -2.2% for units.
2. These trends suggest cash rate hikes translated into the market. Total sales declined between Q1 2022 – Q1 2023, by -31.9% (to 226 sales) for houses, while total sales for units increased by 6.3% over the 12-month period (to 34 sales). New opportunities now exist for buyers.
3. House rental yields in Wagga Wagga were recorded at 4.0% in March 2023, well above Sydney Metro (2.9%). Furthermore, in the 12 months to Q1 2023 median house rental price increased by 6.7% to sit at $480 per week, alongside a significant increase in the number of houses rented (to 427 rentals).
4. Wagga Wagga recorded a vacancy rate of 1.2% in March 2023, which is slightly below Sydney Metro’s 1.3% average. The spike in early 2023 can be attributed to more investors capitalising on a tight rental market. Vacancy rates in Postcode 2650 remain lower than in pre-COVID-19 time and under the Real Estate Institute of Australia’s healthy benchmark of 3.0%.
Rental Growth 2023
House rental yields in Wagga Wagga were recorded at 4.0% in March 2023, well above Sydney Metro (2.9%). Furthermore, in the 12 months to Q1 2023 median house rental price increased by 6.7% to sit at $480 per week, alongside a significant increase in the number of houses rented (to 427 rentals). Average days on market remained at a low 23 days in Q1 2023. The same pattern can be seen in the unit rental market, confirming Wagga Wagga as an attractive investment option. 3 bedroom houses have provided investors with +13.9% rental growth annually, achieving a median rent of $450 per week.
Wagga Wagga recorded a vacancy rate of 1.2% in March 2023, which is slightly below Sydney Metro’s 1.3% average. The spike in early 2023 can be attributed to more investors capitalising on a tight rental market. Vacancy rates in Postcode 2650 still remain lower than pre-COVID-19 time and under the Real Estate Institute of Australia’s healthy benchmark of 3.0%. This suggests a conductive investment environment, especially with a more affordable house price in the past quarter.
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