Western Sydney property prices rise 17% on airport-driven demand

Residential property prices in Western Sydney have risen by approximately 17% over the past 12 months, driven by surging demand from first home buyers and investors anticipating the opening of the Western Sydney International Airport. Two-thirds of that price growth occurred from October onward, coinciding with the increase in the first home buyer price cap to $1.5 million. The airport's development has spurred plans for a new metro line, increasing regional connectivity and reshaping buyer interest in an area once overlooked. First home buyers and investors are now targeting the region for affordability and infrastructure upside, with most opting for two-bedroom apartments or three- or four-bedroom townhouses. The rental market has become the most competitive in 17 years, with weekly rents rising nearly 20%. Vacancy rates now hover around 1%, and properties are spending fewer than 14 days on the market before selling. Commercial property interest has surged due to the airport and logistics advantages of the Aerotropolis. Domestic and offshore investors are acquiring land for long-term positioning, development, or operational use. Nearby precincts including St Marys, Leppington, and Picton are experiencing spillover demand. Early-mover advantages in the Aerotropolis are diminishing as the market becomes active and pricing reflects forward expectations.