The imminent (well, sort of, depending on who you ask) cuts to official interest rates have prospective property buyers ready to pounce and looking around the country at the best places to invest in 2025.
Australian real estate agents LJ Hooker have provided a list of their best hotspots to Domain in each state to guide investors and buyers towards areas that look likely to produce the best returns.
LJ Hooker head of research Matthew Tiller told Domain he expects rates to stay put until at least May, with the timing and size of the cuts determining how the property market performs in 2025.
Mr. Tiller said some buyers were pulling the trigger now, confident they are entering the market ahead of interest rate cuts and increased prices, while others were waiting for the cuts so they could borrow more money and buy more expensive property.
Whatever the case, and whatever state you’re looking to buy in, LJ Hooker has a list of hotspots to target in 2025.
Victoria Property Hotspots for 2025
Here in our state, LJ Hooker says rental yields and affordability will improve in 2025, meaning plenty of interest from investors and first-home buyers.
If you are looking for something in the city that represents great value and high return, they suggest Werribee and Frankston. If you are looking for something regional, they point to Geelong and Ballarat.
New South Wales Property Hotspots for 2025
The country’s most expensive property market will see investors and owner-occupiers upgrading to bigger homes in 2025 during this period of good supply and slow price growth.
LJ Hooker suggests targeting Mosman, Freshwater, Blacktown, and Wattle Grove in the metro area, and Orange and Warrawong in the regions.
Queensland Property Hotspots for 2025
The prospect of hosting the 2032 Olympics dominates the landscape in the Queensland property market. Growth will be higher than average while infrastructure projects for the Olympics draw investors and interstate migrants.
LJ Hooker likes the idea of buying property in Coorparoo and Springfield Lakes in 2025 and Toowoomba and Nambour for regional investments.
Western Australia Property Hotspots for 2025
The West has been on a property tear in recent times, and strong rental yields are attracting investors in droves. Housing shortages and their strong economy look set to see price growth remain strong in 2025.
LJ Hooker suggests targeting Innaloo in the metro area and perennial favourites Busselton and Geraldton for regional properties.
South Australia Property Hotspots for 2025
Adelaide will continue to see plenty of action from owner-occupiers, investors, and retirees in 2025, but increasing housing supply will take the edge off price growth.
Hillcrest and Seacliff are the ones to watch in the metro area according to LJ Hooker, with Port Lincoln being the prime target in the regions.
Tasmania Property Hotspots for 2025
The Apple Isle should stay fairly sedate in 2025 until interest rate cuts possibly get things going later in the year. People looking for a great lifestyle will be targeting coastal and country areas.
LJ Hooker suggests looking at Kingston, Devonport, and Launceston.
