NSW really is leading the country economically. According to the New South Wales Valuer General Property values in the state now sit at a combined value of $1.5 Trillion, growing by $150 Billion in 2016 alone and growing a total of 57% in the last 4 years.
This was led by residential prices where they spiked 11.1% in 2016 to a total of $1.2 Trillion. However these figures must be taken with a grain of salt, as stated by Pete Wargent because they are based on the 38,000 sales which occurred in 2016 so may not define all areas accurately, particularly ones with low sales volumes for the year.
In 2016 the suburb which gained the most amount of growth as a percentage was Burwood. it gained 38.5% year over year, and it gained 110% over the last 4 years according to the graph above.
Over the last 4 years it has clearly been dominated by the Inner-West (Burwood, Strathfield, Marrickville, Ashfield) and the Parramatta region (Parramatta, Auburn, Holroyd).
This can be largely to these areas being rezoned for redevelopment. A lot of highrise apartments have risen in these suburbs which has contributed to higher land prices as land becomes rezoned for multi-dwelling units.
According to the graph above, Strathfield is the clear winner in terms of land value over the last 4 years. It gained an incredible $725,000 for the average block in the suburb.
This means that home owners in Strathfield were making $15,000 per month every month for sitting on their properties. This is astonishing for a suburb that was once considered a working class suburb a few decades ago.
NSW is booming, to say the least. it will be interesting to see how long NSW can keep this momentum going.