Sydney’s Waterfront Premiums: Harbour Views Yield 121% Higher Prices
Sydney’s real estate market distinctly separates into two segments, with properties featuring iconic ocean and harbour views being particularly coveted. These prime locations often fetch premium prices, appearing to remain robust against broader economic shifts that typically impact other sectors of the market, such as changes in interest rates and downturns in the economy.
Waterfront properties in Sydney’s upscale harbourside and beachside suburbs, for example, are not just in high demand; they also command extraordinary premiums. According to Knight Frank, waterfront homes in Australia sell for an average of 81% more than comparable inland properties. Those with harbour views garner an even higher premium, at 116%. In Sydney specifically, properties with prime harbour views can command an additional 121% over similar properties without water views, marking the highest waterfront premium globally.
Harbour front properties
142 Wolseley Road Point Piper
$51,500,000 March 2024
49 Wunulla Road Point Piper
Apr 2023 for $68,000,000
12 Castra Place Double Bay
$35,500,000 Jun 2023 | 21 Coolong Road Vaucluse
$59,500,000 Oct 2022
83 Fitzwilliam Road Vaucluse
$40,500,000 April 2023
13 Queens Avenue Vaucluse
$39,000,000 October 2023 |
Ocean front properties
1 Bronte Marine Drive Bronte
$23,388,000 October 2021
2 Bronte Marine Drive Bronte
$24,000,000 October 2023
12 Bronte Marine Drive Bronte
$22,650,000 July 2023
20 Thompson Street Tamarama
$29,990,000 Nov 2023 | 252 Campbell Parade Bondi Beach
$22,000,000 Nov 2021
3/8-10 Notts Avenue Bondi Beach
$24,000,000 May 2022
16/16 Notts Avenue Bondi Beach
$20,100,000 Sep 2021
9 Kenneth Street Tamarama
$29,200,000 Feb 2022
27 Thompson Street Tamarama
$25,500,000 Oct 2021 |
This significant price difference underscores the allure of waterfront living and helps explain why specific streets and blocks in these areas are more desirable, often commanding higher prices than similar locales without the water views.
Further context is provided by the 2024 Wealth Report from Knight Frank, which introduces the Prime International Residential Index (PIRI 100). This index, which measures the price growth of the top 5% of homes across 100 prestigious property locations worldwide, noted a 3.1% increase in 2023. This marks a moderation from the previous years, following a pandemic boom where prices rose by 5.2% in 2022 and 8.4% in 2021. Within this global index, Sydney ranks 49th, with its luxury property prices experiencing a 2.7% rise in 2023, further highlighting the city’s stable position in the global luxury property market despite broader economic uncertainties.
