The luxury property market in Australia is experiencing a significant shift, with traditional strongholds maintaining their positions while new contenders emerge in unexpected locations.
Top-End Market Dynamics
Sydney and Melbourne’s high-end property markets are showing signs of softening, while more affordable areas remain relatively stable. Despite this trend, the prices commanded by luxury properties continue to astound.
Australia’s Most Expensive Suburbs
The old money suburbs of Sydney maintain their dominance in the luxury market:
- Bellevue Hill
- Point Piper
- Rose Bay
These areas boast an average price above $11 million for the top 10% of properties. Sydney suburbs overwhelmingly dominate the list, with Melbourne’s Toorak being the sole representative from Victoria5.
Emerging Luxury Markets
While established areas retain their prestige, new luxury hotspots are making waves:
Gold Coast Surge
- Main Beach: Luxury home values nearly doubled since 2019, from $3.8 million to $6.6 million7.
- Surfers Paradise North: Median luxury property prices now exceed $6.7 million, rivaling Sydney’s Coogee and Clovelly7.
- Mermaid Beach-Broadbeach: Featured in the top 10 growth areas for luxury properties7.
Perth’s Luxury Ascent
- Cottesloe has seen a remarkable $2.4 million increase in property values over five years, now comparable to luxury homes in East Melbourne and Sydney’s Roseville6.
Canberra’s High-End Growth
- The suburb of Forrest has demonstrated impressive increases in the luxury segment, despite overall stable property price growth in the capital6.
Market Insights
The path to luxury status is diversifying beyond traditional Sydney and Melbourne enclaves. Gold Coast, Perth, and Canberra are emerging as significant players in luxury property growth.
Established luxury areas like Mosman and Double Bay continue to perform well but no longer dominate the growth narrative.
While Bellevue Hill and Point Piper are unlikely to be dethroned soon, the competition for top spots in the luxury market is becoming increasingly dynamic and geographically diverse.
