Castle Group Predicts Property Price Lift for 2023

According to data from CoreLogic, prices in Sydney increased by 1.5 per cent for March 2023. On top of that, the Commonwealth Bank is predicting interest rate cuts from October 2023. The other big banks have a similar outlook of declining rates from early 2024.

Declining rates combined with immigration in 2023 reaching its pre-pandemic levels, mean “prices will increase further in 2023”, said Castle Group director Ritchie Perera—a prominent developer in Sydney’s north-west.

For their sites in Rouse Hill and Kellyville, Perera said that the group would increase prices by 3 per cent in June 2023, with another increase of 3 per cent planned for September 2023.

“The past 12 months have been reminiscent of the early days of Covid—fear in the market and buyers and sellers playing the wait-and-see game”, Perera said.

“What followed in late 2020, and what we’re seeing early signs of now, is a market poised for recovery. If you’re in the market for a home, there’s never been a better time to buy.” 

Sydney’s north-west has benefited tremendously from new infrastructure and amenities. There are five Metro stations within a 7km radius (Norwest, Bella Vista, Kellyville, Rouse Hill, Tallawong) and Rouse Hill is one of the few suburbs in Sydney with access to two separate train lines (Metro Northwest and Sydney/Richmond rail line).

Construction has also begun at the new Rouse Hill Hospital. The hospital will be one of the largest in Sydney and further increase demand in a market with limited supply.

▲ Then health minister Brad Hazzard (on right) with local members of parliament and representatives from Western Sydney Local Health District and Health Infrastructure turn soil at the Rouse Hill Hospital site. (image credit -thepulse.org.au)

Castle Group is Rouse Hill’s largest landowner and developer. One of their land releases in 2021 was attended by more than 300 people and gained widespread publicity.

Their last auction and open day, held in August 2022 at their One Fairway estate (pictured top) at Kellyville, attracted close to 2000 attendees and achieved a 100 per cent clearance rate for the three land lots and four house and land packages put to market.

▲ Record crowds line up to attend the auction at One Fairway estate in August 2022.

Castle Group is currently marketing land lots in Rouse Hill sized from 250-270sq m (3km from the Metro Station), 110 freestanding terrace style homes on Tallawong Road (500m from Metro Station) as well as the last remaining house and land packages at the prestigious One Fairway estate Kellyville.

Castle Group has developed a reputation for their focus on low supply and high demand locations.

“There are currently less than 50 lots for sale in Rouse Hill and no housing options so close to the metro other than apartments. Kellyville is the same, no supply and amenity rich.” 

There is always demand for good quality stock. This demand will increase and in turn have an impact on prices in the coming 12 months.” Perera said.

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