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Report Predicts Australia's Next Property Boom in "Second-Tier" Suburbs for 2026

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A report by financial services firm Your Future Strategy has predicted Australia's under-the-radar boom suburbs for 2026. The report suggests that property growth in 2026 will be led by "second-tier" suburbs where infrastructure and lifestyle are improving, rather than prestige or inner-city areas. Focus areas include Sydney, Brisbane, and Melbourne, specifically those with developing public transport infrastructure and consistent buyer demand.

Investment Strategy

Your Future Strategy managing director Gareth Croy advised buyers to avoid chasing past trends. He stated, "The strongest growth in 2026 will come from suburbs where infrastructure is already locked in, supply is constrained and lifestyle has caught up, even if the postcode hasn’t yet."

Sydney Suburbs

  • Parramatta: Named a top Sydney suburb to watch due to transport investment and changing buyer behavior. Data from the report indicates Parramatta house prices increased by 5.9 percent last quarter and 8.7 percent over the year. Mr. Croy noted that projects like Metro West, Parramatta Light Rail, and major employment centers are reshaping demand, leading to consistent outperformance.
  • South Campsie: Benefits from the Sydenham–Bankstown rail upgrade and renewed family demand. Its median price saw an 8.8 percent quarterly improvement and 13.4 percent annual growth. Mr. Croy described Campsie as a "mid-ring squeeze," citing closing affordability gaps relative to neighboring suburbs, tightening days-on-market, and constrained supply.

Brisbane Suburbs

Raphael and Kate Tripet, who moved from Sydney to Carindale, Brisbane, two years ago for better value, are now targeting Bracken Ridge and Kedron for investments. Carindale was chosen for its school catchments, freestanding homes, and street appeal.

  • Bracken Ridge: Located in Brisbane’s north, it recorded 7.8 percent annual growth. Mr. Croy highlighted its "landlocked" nature, tight vacancies, and competitive yields as factors contributing to resilient demand.
  • Kedron: Situated in Brisbane’s inner-north, prices grew 12.8 percent annually. Mr. Croy stated that its proximity to the CBD, character homes, and strong school zones attract families and investors, which helps protect prices.

Melbourne Suburbs

  • Box Hill: Identified as a suburb to watch in Victoria. Mr. Croy noted that its infrastructure, including hospitals, schools, transport, and rental demand, supports steady growth. The median house price increased by 3.2 percent over the past year.
  • Werribee West: In Melbourne’s southwest, it has a median price of $580,000 and showed positive quarterly growth. Planned projects such as the Suburban Rail Loop West are expected to enhance connectivity. Mr. Croy remarked that demand is likely to follow once commute times decrease.