Investment in the Changing Western Sydney Property Scene

Investment in the Changing Western Sydney Property Scene

Western Sydney is in a constant state of change, with suburbs like Merrylands and Parramatta leading the charge. Both regions are seeing growth led by the growth of infrastructure, economic growth, and increasing housing demand. Insights into the behaviour of these markets can be useful for future home buyers and investors as well.

Merrylands: The Next Big Suburb

Based in Greater Western Sydney, Merrylands is a thriving multicultural area. New You can see why—the population is over 32,000 with a median age of 33, making it a magnet for young families and professionals. Its close proximity to Parramatta and Sydney CBD adds appeal to those looking for a suburban lifestyle with city convenience.

Promising signs in the Parramatta property market. As of the early 2020s, the price of a typical house in the area stood at around \$1.33 million, with a 15.7% increase in the past year. Units have a median price of approximately \$490,000 and experienced a slight 2.1% growth in the same period. The suburb’s strong rental market is also demonstrated with house rents at \$700 per week and unit rents at \$570 per week, showing a healthy appetite from renters.

Merrylands is undergoing some major developments. Among these are plans for a 25-storey mixed-use block close to the train station intended to re-pipe buildings with a housing supply and reshape the local skyline. The \$32 million transformation of Merrylands Park, which is due to be completed in 2024, will also improve local recreational facilities and could push up property values in the area.

Parramatta: Sydney's second city

Parramatta has already established itself as the "second CBD" of Sydney, developing quickly and growing its economy. The suburb is well-placed around 19 km to the Sydney CBD with a combination of commercial and cultural presence, therefore welcoming more investments and urban dwellers.

This dynamism is evident in the Parramatta property market. By the end of 2024, the median house price had reached \$1.7 million, a 14% rise from the previous year. Properties are staying on the market for an average of 72 days, which suggests a robust demand. There is also a robust rental market, with median weekly rents of \$630, drawing investors who want a steady yield.

Parramatta’s expansion is being supported by the big infrastructure spend. The advent of the first stage of the Parramatta Light Rail in December 2024 has improved the suburb and connection to its surrounding regions. In addition, the establishment of Parramatta Square is continuing to shape the region as a commercial epicentre with major tenants and thousands of new jobs flowing in.

The suburb's population increase is forecast at 3.0% p.a., from 287,220 in 2022 to 487,731 in 2041. This population growth, combined with \$20 billion worth of infrastructure investment in the works for the next five years, means there is potential for continuing boom times and more heightened demand for property in Parramatta.

Markets Getting Around the Real Estate Markets

“People think, ‘It’s a Merrylands property; we’ll get as many dollars for that as a Parramatta property,’ but is it?” For those looking to break into the Merrylands or Parramatta real estate market, it’s important to be aware of what drives growth in each. Slightly cheaper to buy into and known for its demographic diversity and increasing amenity, Merrylands is a suburb that’s becoming increasingly more desirable. Parramatta, with its developed economic base and significant public infrastructure investment, does offer opportunities for residential and commercial expansion.

Recent interest rate cuts from the major banks, including ANZ, have made lending cheaper, so we might see more buying activity in these suburbs.

Working with Hunters Agency

Real estate is a complicated business, and knowing the local market is everything. With a wealth of knowledge on the Western Sydney market, Hunters Agency is prepared to guide buyers and investors to the right decision. Their dedication to personal service means clients will find properties that match what they have in mind, no matter what those specifics may be.

Whether wanting to buy into the growing real estate market in Merrylands or explore emerging options in the changing property market in Parramatta, Hunters Agency offers all you need to negotiate these ever-developing markets with ease.

Are You Ready to Look at Your Property Options?

To find out how we can make a difference to the results you achieve, we invite you to contact us. If you are looking at buying, selling, or investing in Merrylands or Parramatta, then give Hunters Agency & Co. a call today. With years of experience, our team is ready to strive for your real estate goals. Call Hunters Agency to proceed with your property purchase.