As property prices continue to soar across Australia, the number of capital city suburbs where homebuyers can secure a house for under $500,000 has dwindled to just twelve. However, there are still pockets of affordability for those looking to break into the market—particularly in Adelaide, Perth, and even Melbourne, where prices have stagnated.
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A recent analysis from the Domain House Price Report (Dec 2024) has identified the final frontiers of budget-friendly homeownership in the country’s major cities.
The 12 Suburbs with a Median House Price Below $500,000
| State | Suburb | Median House Price | Distance to CBD (KM) |
|---|---|---|---|
| SA | Smithfield Plains | $500,000 | 25.77 |
| SA | Elizabeth Downs | $500,000 | 23.35 |
| WA | Osborne Park | $498,000 | 3.71 |
| QLD | Laidley | $495,500 | 59.11 |
| VIC | Melton South | $495,000 | 33.99 |
| QLD | Woodridge | $495,000 | 16.42 |
| WA | Northbridge | $493,250 | 0 |
| SA | Davoren Park | $482,500 | 23.44 |
| WA | Midland | $482,500 | 12.48 |
| VIC | Melton | $465,000 | 30.60 |
| SA | Elizabeth North | $451,750 | 22.80 |
| NT | Berrimah | $250,000 | 6.14 |
Melton: Melbourne’s Last Affordable Suburb?
Melton, located 30 km from Melbourne’s CBD, still offers houses at a median price of $465,000. Local real estate expert Shane Spiteri of YPA Estate Agents Melton says the area remains an attractive entry point for first-time buyers.
“With $500,000, buyers can secure a three-bedroom, two-bathroom home on 300-400 sqm of land,” Spiteri explains. “We’re also seeing demand for new two-bedroom townhouses, which come with a seven-year builder’s warranty and start at $459,000.”
Despite Melbourne’s overall market downturn, Melton is expected to see growth, particularly with the return of investors. “We’re now receiving calls from buyers’ advocates in WA and Sydney—something that wasn’t happening three months ago,” Spiteri adds.
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Elizabeth North: A Budget-Friendly Option in Adelaide
Adelaide’s Elizabeth North remains an attractive market for buyers, with a median price of $451,750. Despite being just 20 km from the city, the suburb continues to be one of the last truly affordable areas in South Australia.
Bradley Clarke, an agent at LJ Hooker Craigmore | Elizabeth | Salisbury, notes that semi-detached houses on 500-800 sqm blocks can still be purchased for under $450,000. “If buyers want a standalone house, they’ll likely need to increase their budget above $500,000,” he says.
With house prices in Elizabeth North having jumped 25% over the past year, Clarke predicts continued growth, albeit at a slower pace. “We probably won’t see the same level of increases as in the past two or three years, but demand remains strong,” he adds.
Woodridge: Brisbane’s Hidden Gem
In Brisbane, where the median house price has surpassed $1 million, only two suburbs remain under the $500,000 threshold—one of them being Woodridge.
Despite the $495,000 median price, local agent Dhimitri Xhaho from All Properties Group warns that standalone houses at this price point are nearly impossible to find.
“The median house price in Woodridge is closer to $700,000, but the presence of townhouses brings the overall median down,” Xhaho explains. “For $500,000, buyers can secure a three-bedroom, one-bathroom townhouse, but not a free-standing home.”
Even with rising prices, Woodridge remains attractive due to its prime location—just 25 minutes from Brisbane’s CBD and 45 minutes to the Gold Coast. “Compared to neighboring suburbs, it’s still very affordable,” Xhaho adds.
Will These Affordable Suburbs Last?
With property values steadily increasing, many of these suburbs won’t stay under the $500,000 mark for long. Buyers looking to enter the market should act quickly before these final affordable options disappear.
For those wanting to purchase in a capital city without breaking the bank, suburbs like Melton, Elizabeth North, and Woodridge still offer opportunities—but for how much longer?
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