‘Flat for 10 years’: the NSW suburbs where home prices grew least since 2011

They’re the NSW suburbs where home prices didn’t boom – the well-populated areas where home values grew at a snail’s pace compared to the rest of the raging market.

A review of property price movements over the past decade showed the bulk of NSW’s lowest performing suburbs for price growth, excluding rural areas, were in Wagga Wagga and Tamworth.

Many of these suburbs had an oversupply of housing at various points over the past 10 years, which meant buyers were under less pressure to pay higher prices.

It was also common for local buyers to prefer new houses and this meant price growth for established houses was more limited.

The CoreLogic research showed Turvey Park was the suburb within a major regional centre with the lowest price growth in the state since 2011.

Houses in the Wagga suburb had a median price of $321,000 in 2011 and cost about $356,000 now. The increase averaged 1 per cent over the decade, a slower rate than inflation.

For some context, prices across NSW as a whole grew at an average annual rate of 7.3 per cent for the period.

The typical Sydney house is worth about $1.29 million, which is nearly $680,000 higher than it was in 2011.

Other suburbs in major regional towns among the 20 slowest price performers were Wagga suburbs Kooringal, Forest Hill, Tolland and Ashmont.

CoreLogic head of research Tim Lawless said conditions across Wagga Wagga were “flat” for much of the past 10 years.

Suburbs in the Tamworth region that appeared on the list included South Tamworth, Hillvue, Barraba and Calala.

The town of Muswellbrook in the upper Hunter Region had the tenth slowest rate of annual growth in prices at 1.4 per cent.

Of course, a slower rate of price growth may come as welcome news for first homebuyers as suggests it’s possible to score homes for prices quite similar to a decade ago.

The risk is that some of the patterns that depressed prices in previous years, such as higher levels of development, could return.

Mr Lawless said there were areas with worse rates of growth than the suburbs mentioned above but they were confined to isolated rural regions.

“Economic conditions across many of these areas have been subdued due to earlier drought conditions or a downturn in resources related activities,” Mr Lawless said.

Only one suburb across the state recorded a negative rate of growth in prices over the past decade: Boggabri, in northwestern NSW.

Values in the suburb dropped 3.8 per cent over the 10 years, or about $8000.

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