Kareela Property Insights - Dec 2024

Kareela, NSW 2232: A Leafy Suburb with Family Appeal

Kareela, located in southern Sydney, is a compact yet highly sought-after suburb known for its family-friendly environment and scenic charm. Covering just 1.7 square kilometers, Kareela is adorned with 14 parks spanning 26.4% of the area, making it a haven for outdoor enthusiasts. The population grew by 4.1% between 2011 and 2016, reaching 3,460 residents.

Housing Market Trends

Kareela’s housing market is robust, with a median house price of $1.65 million as of November 2024. Over the past year, 45 houses were sold, with prices ranging from $1.5 million at the lower quartile to $1.78 million at the upper quartile. Properties spent an average of 65 days on the market, slightly longer than in neighboring suburbs, reflecting a balanced market. The median rent for houses is $1,000 per week, yielding a 3.2% rental return.

Unit Market Trends

The unit market in Kareela is smaller, with 6 units sold in the past 12 months. The median unit price is $1.07 million, with units offering a median rent of $590 per week and a rental yield of 4.1%, making them a viable investment for those seeking rental income.

Kareela

Land Market

The land market in Kareela is extremely limited, with only 1 land sale recorded in the past year. This highlights the scarcity of available development opportunities, further driving the value of existing properties.

Rental Market

The rental market in Kareela remains steady, with the median rent for houses at $1,000 per week, representing a 2.6% annual increase. Units, while limited in number, offer a median rent of $590 per week, with strong yields of 4.1%, catering to young professionals and downsizers.

Recent Market Activity

The property market in Kareela has been moderately active:

• 45 houses were sold over the past year, with prices ranging between $1.5 million and $1.78 million. Properties remained on the market for an average of 65 days, indicating a steady pace of transactions.

• 6 units were sold, with a median price of $1.07 million, showing stable interest in this property type.

• Only 1 land sale occurred, emphasizing the limited opportunities for new developments in the area.

This market activity reflects Kareela’s appeal to families and investors looking for a peaceful suburban lifestyle.

Community and Lifestyle

Kareela is predominantly a family suburb, with 54.9% of households consisting of couples with children. The predominant age group is 40-49 years, and a significant 23.6% of households earn over $182,000 annually, reflecting the suburb’s affluent demographic. With a mix of green spaces, quality schools, and local amenities, Kareela is an ideal choice for families seeking a balanced lifestyle.

Investment Potential

Kareela’s strong housing market, limited land availability, and attractive rental yields make it a desirable location for both homeowners and investors. Its proximity to Sydney’s amenities and serene environment ensure continued demand and long-term value.