City Beat March 2025: Sydney price gap between houses and units grows as house prices surge
The gap between Sydney's median house price and median unit price is growing once again, as the harbour capital bounces back from modest declines.
Interest rates have sparked momentum in the house market, which contracted by -0.9 percent for just three months before turning positive again in February with 0.3 percent growth, CoreLogic data shows.
CoreLogic's Monthly Home Value Index recorded another 0.5 percent gain in Sydney house values in March. Unit values, however, contracted by -0.1 percent.
The Sydney median house value is $1,473,000 compared to $852,000 for units, a gap of $621,000.
CoreLogic Research Director, Tim Lawless, says improved sentiment following the February rate cut is likely the biggest driver of the turnaround in values
Read more: City Beat February 2025: Sydney property downturn ends abruptly as rate cuts spur price growth
What happened in Sydney's off the plan market in March?
After two relatively quiet months to start 2025 in Sydney's new and off the plan property market, March saw an increased level of activity from developers, reacting to improved sentiment in the property market.
The month kicked of with the launch of Landream's Pyrmont Place development, across the road from the $750 million Sydney Fish Market.
Pyrmont Place will comprise 237 apartments across four buildings at the gateway to Blackwattle Bay.
Designed by BVN, Pyrmont Place will include a childcare centre, a two-court indoor recreation centre, and a range of communal amenities including an outdoor pool, gym, music room, communal landscaped terraces, and open spaces designed by OCULUS.
The buildings have been designed to honour Pyrmont’s industrial roots and sandstone heritage. Each building will feature a distinctive façade, creating a neighbourhood vibe that harmonises with the surrounding environment.
There was similar fanfare for the launch of Lovedale Farm, the Hunter Valley's newest landmark destination.
Lovedale Farm, the new residential, resort, and golf community from Capital Corporation, brings a new residential offering to those seeking the Hunter Valley lifestyle. The opportunity has not been lost on those from Sydney and Newcastle, who have already snapped up over 60 per cent of the first release.
In the heart of the Hunter Valley between Pokolbin and Rothbury, Lovedale Farm is a masterplanned golf development that will span an almost unrepeatable 240 hectares.
Capital Corporation has worked hand in hand with Cessnock Council and NSW Government for the best part of two decades to realise the vision for Lovedale Farm. The first release of residences will be accompanied by an 18-hole golf course designed by Darius Oliver, the designer known for projects like Cape Wickham on King Island. The masterplan includes a wider residential community, a boutique, high-end resort, destination dining precinct and apartments.
Buyers now have the chance to secure a slice of Lovedale Farm. Lot sizes range from 550 sqm up to 3,000 sqm. Prices for turnkey residences start from $1.35 million for three-bedroom homes on 550 sqm lots, lower than Sydney’s median house price of around $1.4 million.
Read more: Inside Lovedale Farm, Hunter Valley’s newest landmark destination
There was also fresh opportunity to buy at Sekisui House Australia's $1 billion Norwest masterplan, The Orchards.
They revealed Veue Grand, the final release of the fourth stage in the thriving community. Over 55 apartments were snapped, including a record-breaking four-bedroom penthouse sale worth over $4 million, which set a suburb record.
With prices starting from $630,000, buyers came from a wide geographical reach including locals in Norwest, up to the northern beaches in Dee Why, across to Coogee in the east, and as far south-west as Picton.
More than 180 people attended the public launch to secure a nature-inspired apartment.
More supply is coming to the market soon as PERIFA, part of Versatile Group which is also a builder, taking over the redevelopment of the former Balmain Leagues Club with investment partner Mitsubishi Estate Asia.
This year they will launch Rozelle Village, around 230 one, two and three-bedroom apartments alongside commercial, retail, communal open spaces and a long-awaited new home for the Wests Tiger’s Leagues Club.
the landmark 7,330 sqm site has been derelict and closed to the community since 2010.
Deicorp is also continuing to put its foot on the gas. At the start of March, they were given the green light for the next stage of their masterplan in Castle Hill.
The developer will deliver 873 dwellings across five residential buildings in the East Showgrounds Precinct, next door to their now-under-construction 430-unit Hills Showground Village.
The new development will comprise of three buildings designed by GroupGSA and two designed by Turner and will include arund 3,500 sqm of open public space in the form of landscaped courtyards, a public park and communal outdoor recreational space including a playground, barbeque area, and outdoor seating.
Read more: Deicorp secures approval for East Showgrounds, Castle Hill apartment project
Deicorp also lodged a State Significant Development with the NSW Department of Planning for their first development in Macquarie Park.
They're planning a 17-level building with 181 apartments on a prime site across 161 Herring Road and 13-15 Lachlan Avenue, a short walk from Macquarie Park Metro rail station and shopping centre.
