Global Power | Local Knowledge | Uniquely Personal
中文

Sydney light railway 'will boos...

Sydney light railway 'will boost local suburbs' property prices'

The construction of a new light railway line to serve Sydney and its surrounding suburbs is driving up property prices in these neighbourhoods.

According to government documents from Transport for NSW, higher house prices will be used as a key performance indicator for the success of the light rail line, online property publication Domain reports.

Some believe that this shouldn't be the government's main priority, but that the focus should be on benefiting the community instead.

What's more, it is expected that the arrival of the light rail network will naturally lead to a rise in property prices anyway, so worrying about this shouldn't be taking up the government's time.

Andrew Constance, minister for transport and infrastructure, told Domain: "We expect any new infrastructure to act as a catalyst for other investment across commercial and private property.

"This is the kind of flow-on effect we want our $73 billion infrastructure programme to create - to generate even more jobs and to revitalise communities."

The $2.1 billion CBD and South East Light Rail corridor passes through a number of suburbs, including Surry Hills, Kensington, Kingsford and Randwick, where experts are expecting to see property prices increase in the near future.

This therefore indicates that now could be a good time for property investors to put their money into properties in neighbourhoods served by the railway line, as these look set to be hugely popular with commuters and young families once it begins operating in 2019.

Its launch will help to significantly reduce journey times for commuters travelling in and out of Sydney each day, while also helping to move the population out of the crowded city and into suburbs, where they are likely to get more for their money on the property market.

With this looking likely to be a growing trend in the near future, property investors should look to buy in these areas now, before demand soars.

All information provided is of a general nature only and does not take into account your personal financial circumstances or objectives. Before making a decision on the basis of this material, you need to consider, with or without the assistance of a financial adviser, whether the material is appropriate in light of your individual needs and circumstances. This information does not constitute a recommendation to invest in or take out any of the products or services provided by SMATS Services (Australia) Pty Ltd or Australasian Taxation Services Pty Ltd.

Subscribe Now