The Ryde Property Market At a Glance
Image by Sardaka, CC0, via Wikimedia Commons
The Sydney suburb of Ryde is the perfect blend of quiet and convenience, making it a great choice for property investors and potential residents. It's home to stellar schools, stunning sights, and handy transport links, and it has a slick commercial hub in Top Ryde for all your shopping needs.
The population is younger than the national median, so it's clearly got plenty to offer to young families looking to put down roots, but before you hit the listings, let's take a look at some of the benefits and risks that come with buying in Ryde so that you're fully prepared for what's to come.
The Benefits of Buying in Ryde
If there's one thing Ryde has demonstrated in recent years, it's consistent property value growth. In the last 12 months, the median house price has increased by 2.2% to $2,420,000 and the median unit price is down 2% at $720,000. However, the rental yield sits at a whopping 5.1% for units and 2.2% for houses. Ryde's median rental price per week for a house is $950, an increase of 11.8% over the last 12 months and $650 for a unit, which is up 6.6%.
A robust rental market supports investment in the area and the location, which is only 13 kilometres from the Sydney CBD, makes it an appealing suburb for young professionals.
Ryde offers a lot and it's become a seriously popular location, providing a mix of parks, accessible transport, a safe environment, and a diverse community. If you're a commuter, you may face heavy traffic at peak travel times, but you can take public transport instead and save yourself the hassle.
The Risks and Challenges Associated With Buying in Ryde
While that may be a lot of good news to take in, it's worth touching on the risks and challenges you may face if you choose to invest in Ryde.
The most obvious risk is flooding. There are areas within Ryde that are more susceptible to flooding than others, including Kittys Creek and Buffalo. West Ryde has some serious hot spots that should give you pause; the Eastwood commercial area is also at high risk, so, if you're thinking about commercial investments, it's worth reviewing that part of the city's Floodplain Risk Management Study.
Don't stop at the studies and flood maps, speak to a local plumber because there are some plumbing and infrastructure concerns in Ryde. Heavy rainfall can create serious issues in ageing properties in low-lying areas, so if you're looking at a property in this area it's worth considering further investment to mitigate the risk. Heavy rainfall can complicate existing plumbing issues, so a qualified plumber can advise you on whether the property is in a good position to fend off heavy rainfall or requires additional drainage or updated systems. You might be prepared to spend the money addressing it, but if you're not, you should move on with your search.
Ryde is a popular market and despite its growth, there's always a risk when investing in high-density areas. If you're looking for a quick flip, this isn't the place for that. However, due to high rental yields, it can produce instant cash flow and due to its size and popularity, the right property will provide solid long-term capital growth. It's all about finding the property that ticks the right boxes for investment but also has mass appeal to renters in the area. So, getting to know the type of people that rent in Ryde will help you strike the right balance.
Final Thoughts on the Ryde Property Market
If you're serious about property investment, Ryde has plenty of benefits to offer, it's difficult to overlook the robust rental market combined with the property value growth it's experienced in recent years. However, it's all about your risk tolerance. With the potential flood risks and ageing infrastructure creating potential plumbing concerns, you should be certain about the property you want to invest in. You need to carry out thorough due diligence, speak to a reputable property inspector, and get to know a local plumber who can offer solid advice about the risks your property might face during heavy bouts of rain.
Additionally, if you have plans to renovate or develop the property, you will need to consult the local authority to ensure you can make those changes. Investing in a flood zone does come with some limitations and if that is too much to contend with, there are plenty of other suburbs to explore.