Having grown up in Sydney’s eastern beaches, I’ve got some deep roots here.
And it’s been interesting to watch the area grow and change over the years.
The change has been visible in many ways, from the vibrant cafe culture to the top-end restaurants and chic bars – not to mention the increased difficulty of finding a parking spot if you want to go for a surf.
But nowhere is this change more apparent than in the real estate market. While the eastern beaches have always been a popular place to live, that popularity has only grown, and with it, so have the prices.
A very Bondi story
Iconic Bondi Beach is one of the most recognisable landmarks in all of Australia. It is one of the places that represent us to the world. Its beautiful beach is just one drawcard.
There are also great shops, a vibrant community, a convenient location close to Bondi Junction and the city, good transport links and excellent schools.
So it’s little wonder that people fight to live here.
In April we sold an unrenovated semi-detached property in Bondi for close to $6.5 million, breaking the record for a Bondi semi, and making it the most expensive house of its kind in Bondi Beach.
The semi had a fascinating history and a one-of-a-kind owner: the former Bondi Rescue lifesaver Bobby Yaldwyn. He’s a bit of a hero, having not only starred on the TV show but saved dozens of lives in the local surf and through his work as a paramedic.
But what’s most remarkable is that it sold off-market, allowing Yaldwyn to make his dream move up the coast for a seachange, and demonstrating the intense demand there is for property in Sydney’s eastern beaches right now.
Yaldwyn’s family had bought the property on Beach Road back in 1991 for just $246,000. Not a bad investment by any measure.
But that’s not all that was different back in the early 90s. In 1990 interest rates were at record highs, with the cash rate sitting at 17%, and while they’d dropped a bit by 1991, they were still many times higher than the record lows we have today. Added to that, a comparison by Ratecity shows that the average mortgage in 1990 was just $67,700, and the average wage was $27,284.
In 2020, the average NSW mortgage sat just under $600,000 (more than 8 times the 1990 mortgage), and the average wage was just shy of $90,000 (more than three times the average 1990 income).
A rising market
Just last November, we sold another home on the same street as Bobby Yaldwyn’s house. 47 Beach Road, an unrenovated 4 bedroom home on 262sqm, was snapped up at auction for $3.73 million. This deceased estate attracted 39 bidders, ultimately selling for around a million above the reserve.
As these two properties show: the market is rising in Bondi and across Sydney’s East more generally.
According to realestate.com.au, the median house price in Bondi Beach as of May 2021 is $3.385 million, having jumped up from $2.75 million in February. That’s an increase of $685,000 in just 3 months – or 25%.
These are big numbers. But it’s no surprise when you look at the figures we reported on earlier this year, showing neighbouring North Bondi had risen 12.4% over 2020 and had experienced 36% growth over the previous five years.
Bondi Beach, alongside many of its neighbours, is now one of Sydney’s most expensive suburbs – a far cry from its humble working-class origins.
If you want to make Sydney’s eastern suburbs your home, contact my team for advice.