What it costs to live on the new, convenient metro line
Sydneysiders who want to live in a suburb along the metro line for a convenient commute will have to pay top dollar to either rent or buy.
The fast-rail system stretches from Sydenham to the CBD, lower north shore, Hills district and Tallawong, with a journey from North Sydney to Barangaroo in just three minutes. Castle Hill residents can get to Martin Place in 35 minutes.
But convenience comes at a premium. Bella Vista residents can get to the CBD in 41 minutes but face a median house price of $2,477,500, while a house will set renters back about $975 a week.
Waterloo’s median unit price is $925,500, and the median unit rent is $935 for a commute of just six minutes to Martin Place.
Rents are also high at $780 for a unit in Chatswood (11 minutes to Martin Place) and $720 for Castle Hill (35 minutes). Castle Hill house buyers would pay a median of $2,312,500.
Ray White agent Peter Iann said the metro had driven greater demand for Bella Vista and that he could not limit the buyer pool to one specific region of Sydney.
“We are now seeing interest from all over Sydney,” he said. “There is not enough stock for the demand, and sellers now have higher price expectations.”
Geoffrey Clinton, senior lecturer in transport and logistics management at the University of Sydney Business School, said that while the metro had a significant impact on social cohesion, it was just one piece of the puzzle.
“Just building train lines alone is not going to create nirvana for Sydneysiders,” he said. “In the next five to 10 years, we will see mini CBDs pop up. People will be living in fairly small apartments, and they’ll be more likely to dine and go out, similar to what happens in other high-density areas like Singapore.”
Sydneysiders who want to live along the Metro line in suburbs such as Bella Vista (pictured) will need to pay top dollar.Credit: Nick Moir
Clinton said that while people wanted to live near public transport, pricing came down to the timing of developments. “If apartments are built ahead of demand, prices may be softer. But if they’re slow to be built, then prices will be higher.”
He suggested the metro and its surrounding high-rises are part of the solution to the housing crisis but that we also need standalone houses and townhouses. “By opening up transport opportunities, it makes it easier to develop density around these areas.”
A professor of civil engineering at the University of Technology Sydney, Buddhima Indraratna, said that while he would like to see young professionals living closer to the metro, there was a lot of wishful thinking about how much the train line could improve housing affordability.
“With the high cost of living, people are living further away from the CBD because they can’t afford it. Even a two-bedroom [CBD] apartment can cost up to $3 million,” he said.
“Sydney is one of the most expensive cities in the world. We might not see the advantages of the metro yet, but they will be there for the next generation.”
Marriott Lane Crows Nest agent Stephen O’Sullivan said that while the metro has enhanced the suburb’s appeal, it hasn’t changed the buyer pool.
“There’s more appetite, but the buyers tend to be locals or downsizers from the upper north shore that are seeking convenience to the CBD,” he said.
O’Sullivan said buyers are limited by price. However, the metro allows for more choice when priced out of Crows Nest, as residents of nearby St Leonards and Wollstonecraft can walk to the station.
O’Sullivan said we are yet to see an uptick in prices for Crows Nest since the introduction of the metro, as there are few homes for sale and prices are high.
An extension from Sydenham to Marrickville, Lakemba and Bankstown will open in 2025, further connecting Sydney’s suburbs.
BresicWhitney Lower North Shore agent Louise Barton said buyers from the eastern suburbs have moved to North Sydney in the past few months, but not because they’re priced out.
“They’re just interested to explore North Sydney, and it makes a lot of sense as you’re just over the other side of the bridge,” she said.
Barton said sellers are not driving up their prices due to the metro.
“Sellers remain realistic about the market. But given how the metro has impacted other suburbs, such as North Ryde, we’ve seen prices increase over time. Sellers are excited about what it means for them.”
North Ryde’s median house price rose 10.9 per cent to $2,495,000 in the year to September on Domain data.