Coledale NSW Property Investment

Wollongong · 2515 · Score: 68/100 · Buy

Median House Price
$2.30M
Rental Yield
2.7%
Vacancy Rate
2.2%
Median Weekly Rent
$1200/wk
Median Unit Price
$1.38M
Population
1,372
Days on Market
42 days
Annual Growth
-26.8%

Coledale Short-Term Rental (Airbnb) Market

Avg Nightly Rate
$700.88/night
Occupancy Rate
40%
Est. Annual Revenue
$102K
AI Investment Analysis

Coledale NSW Investment Brief

BUY$2,300,483 median with 9.0%/yr growth over 5 years.

THE MARKET

Coledale has compounded at 9.0%/yr over 5 years — a house that cost $1,495,156 in 2021 is worth $2,300,483 today. Properties are sitting on market for 42 days (roughly balanced conditions). At the same growth rate, today's median reaches $3,539,578 by 2031.

  • Median house: $2,300,483 | Units: $1,379,132
  • Gross yield: 2.7% | Net yield: 1.2%
  • 5yr price CAGR: 9.0%/yr | 3yr forecast: 13.5%/yr
  • Population: 1,372 | Owner-occupier rate: 79% | Affluence: Very High
  • Supply pipeline: Low — Price growth outpacing new supply, limited development pipeline

RENTAL SNAPSHOT

  • Vacancy: 2.2% (improving) | Rental demand: High
  • Median weekly rent: $1,200/wk | Days on market: 42 (stable)
  • Balanced market — vacancy manageable but monitor trend.

SHORT-TERM RENTAL

  • Median nightly rate: $701/night | Occupancy: 40%
  • Estimated annual STR gross: ~$102,328/yr
  • vs long-term rent: $62,400/yr (+64% STR premium — factor in higher management costs)

INFRASTRUCTURE & CATALYSTS

  • No major confirmed infrastructure projects on record.
  • Transport: Standard suburban transport access

BULL CASE

If Coledale maintains 3%+ annual growth and vacancy stays below 1.5%, median prices could reach $2,645,555 within 3 years with yields compressing slightly as capital values rise.

BEAR CASE

A market correction or interest rate shock could see prices in Coledale pull back 10-15% from $2,300,483, with vacancy rising to 4.0% and rental yields softening as tenants gain leverage.

KEY RISKS

  • Premium price point limits buyer pool and increases interest rate sensitivity
  • - Distance from CBD may limit long-term capital growth potential

COMPARABLE MARKETS

  • Pinkett (NSW): $2,650,000 median, 0.8% yield, 0.0% 1yr growth
  • Barrack Point (NSW): $1,711,063 median, 2.5% yield, 1.8% 1yr growth
  • Long Point (NSW): $2,700,000 median, 1.2% yield, 12.5% 1yr growth

THE PLAY

Coledale presents a compelling investment opportunity. The combination of solid fundamentals and high rental demand supports entry at current price levels. Proceed with due diligence on specific properties. Target gross yields above 2.7% and prioritise properties with value-add potential. Consider timing entry around the current recovery phase of the market cycle.

  • Entry range: $2,070,435$2,530,531
  • Minimum gross yield to target: 4.5%
  • Watch signal: vacancy dropping below 2% and days on market falling below 35

This analysis is for informational purposes only and does not constitute financial, legal, or investment advice. Seek professional advice before making investment decisions.

Gentrification Index

Early gentrification signals4.0/10
High SEIFA decile — already upgraded or established affluent area
Strong capital growth (12.9% CAGR) — above national average
Active development pipeline (6738 approvals) — supply attracting new residents

Growth Forecast

high confidence
1yr Forecast
10.7%
p.a.
2yr Forecast
9.8%
p.a.
5yr Forecast
8.5%
p.a.

Basis: 5yr CAGR 12.9% + 10yr CAGR 8.5%

Growth drivers
  • +Low rental vacancy (2.2%) — constrained supply
Headwinds
  • High supply pipeline (6738 new approvals) — may cap price growth

Suburb Metric Thresholds

8 green4 yellow4 red
Rental Vacancy Rate
2.2 high impact
Days on Market
42 high impact
Weekly Rent (house)
1200 medium impact
5yr Price CAGR
12.93 high impact
10yr Price CAGR
8.5 high impact
1yr Price Growth
-26.8 medium impact
Population Growth
1.11 high impact
Median Household Income
2418 medium impact
Unemployment Rate
3.9 medium impact
Public Transport Score
6.2 medium impact
School Zone Quality
8 medium impact
Distance to CBD
51.91 medium impact
SEIFA Advantage/Disadvantage
10 medium impact
Owner Occupier Rate
79 medium impact
Gross Rental Yield (%)
2.71 high impact
Net Rental Yield (%)
1.21 high impact

Macro Environment

Macro Indicators

Cash Rate

4.35%

0.25%

Cash rate as at 2026-05-06 · Credit data 2026-04

Suburb Supply & Demand

Suburb Supply Pipeline — New Dwelling Approvals

1,211

2020

1,385

2021

1,228

2022

1,346

2023

1,568

2025

New dwelling approvals — higher numbers mean more future supply

Socio-Economic Profile

Source: ABS Census 2021

SEIFA Index · Postcode 2515

Most disadvantagedLeast disadvantaged

Decile 10 of 10 — Low disadvantage

Population

11,745

Education (IEO)

10/10

Econ. Resources (IER)

10/10

10-Year Investment Projection

Modelled on Coledale NSW data — rent, capital growth, tax, and depreciation over 10 years.

Pre-filled: $1200/wk median rent for Coledale. Capital growth and rent increase are editable assumptions.

Schools

In your catchment

Coledale PS
PrimaryGovernment
8/10
Bulli HS
SecondaryGovernment
7.1/10

These are the government-school zones containing this suburb centroid. Specific addresses within the suburb may fall in different catchments — confirm with the school directly.

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Data sourced from ABS, state government property sales, and Airbnb market analytics. For informational purposes only — not financial advice.