The beautiful coastal NSW towns that you should buy property in
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Have your eye on a coastal bolthole, a sea-change property or a regional investment on the NSW coast but not sure which town ticks all the boxes?
Never fear, we have done all the hard yards for you and located the best places to live on the NSW coast! If you are after a cheap coastal town then you may need to recalibrate your budget. Some of the fastest growing areas for property investment during the COVID-induced recession in 2020 have been regional markets, so you may find prices a little steeper than what you expect. This means it's important to do your homework before you invest in a holiday getaway you can rent out, or a sleepy coastal town to retire to.
Holiday home or downsizing for retirement?
If you are thinking of investing in a coastal holiday home then be sure to weigh up all the pros and cons of this arrangement, to make sure it is right for your personal circumstances. Leasing your property as a holiday rental is an option, but it is never going to match a conventional investment property for earnings, though it could help to offset some costs of holding the property.
If you are planning on downsizing to a coastal property when you retire then consider if the local area has all the amenities you may need - like healthcare facilities and a local support network.
5 of the best coastal towns in NSW to buy property in
But without further ado, let's dive into some of the most beautiful coastal NSW towns you could invest in or make home. They may not be the cheapest coastal towns in Australia, this is NSW after all, but they are certainly some of the best places to live on the NSW coast.
1. Mollymook 2539
NSW South Coast
If you ever wanted to dine at Rick Stein's Bannisters regularly, you may as well set up house in Mollymook.
Mollymook is a South Coast gem, located just three hours drive south of Sydney in the City of Shoalhaven. Besides the stunning beaches you also have whales and dolphins for neighbours - as well as quality dining options such as TV chef Rick Stein’s nearby Bannisters - oh, and a golf course.
The median house price in Mollymook is currently $720,000, and you can expect weekly rent of $470. Mollymook has seen a compound growth rate of +5.2 per cent for houses over the last five years.
Invest here if you like...eating, eating and maybe some swimming or a round of golf.
- Median house price: $720,000
- Median rent (house): $470 per week
2. Yamba 2464
NSW Northern Rivers
Mild winters, long summers and fantastic surf breaks...and one of the best places to live in northern NSW.
Yamba (pop. 7,000) is definitely one of the most underrated small coastal towns in NSW. Sited in the Northern Rivers at the mouth of the Clarence River and boasting mild winters and long, temperate summers - you could be forgiven for thinking you were actually in Queensland. Major attractions here are the (very) laid back lifestyle, as well as the fabulous local prawns and surf breaks - if that is your thing.
This makes it a perfect year round destination and home. It is also a lot quieter and cheaper than its northern cousins, Byron Bay and Ballina. You also pay a little more for property here, especially considering the median property price in Byron is currently $2.7 million!
Median property prices are $749,000 (houses) and $530,000 (units). With weekly rents of $525 and $390 respectively. Property prices have climbed steadily over the last five years, with a compound growth rate of +9.3% for houses and +9.4% for units.
- Median house price: $749,000
- Median rent (house): $525 per week
3. Stuarts Point 2441
Mid North Coast
This little pocket of gold ticks so many boxes.
If you are looking for an affordable NSW coastal town then Stuarts Point ticks a lot of boxes, and then some. First up is the setting, with a combination of river frontage and waterways courtesy of the Macleay River with a beach and forest thrown in for good measure.
It is relatively secluded on the mid north coast a short 30 minute drive from Kempsey, or an hour from Port Macquarie or Coffs Harbour - but this could be a plus if you are looking for the quiet life. Here a house will cost you in the region of $449,000, and the going rent would be $345 per week - a bargain if you like the serenity and being near the water.
Invest here if you like...the quiet life... Ahhhh.
- Median house price: $449,000
- Median rent (house): $345 per week
4. Batemans Bay 2536
NSW South Coast
For lovers of quiet beaches and fantastic eateries. Batemans Bay, or Batehaven, on the NSW South Coast has a lot going for it, with fantastic beaches, a snorkelling trail and the Clyde River all on your doorstep. This explains why it is a popular weekend getaway for Canberrans as well as retirees, but young families are also making a home there. Batemans Bay is a four-hour drive from Sydney and two hours from Canberra, so accessible but not super close.
Median property prices are currently $530,000 for houses and $407,500 for units. If you are thinking of letting you could be taking $430 per week from a house and $370 per week for a unit. In terms of the growth potential of property, houses have appreciated +9.3% in the last 5 years, with units up +12%.
Invest here if you like...seafood, it's the heart of Australia’s Oyster Coast and has some great seafood restaurants.
- Median house price: $530,000
- Median rent (house): $430 per week
5. Narooma 2546
NSW Far South Coast
Crystal clear waters, fresh oysters and much more.
Head further south and you get to Narooma in the Eurobodalla region, one of the most spectacular and picturesque towns on the south coast. With a population of close to 7,000 people Narooma - from the Aboriginal ‘clear, blue water’ - is exactly what is on offer here, with fresh local oysters, no shortage of local produce, arts and crafts and much more on offer. You also have historic Central Tilba just down the road, with everything it has to offer, not to mention the wildlife offshore at Montage Island.
Median property prices in Narooma range from $599,000 for houses to $249,000 for units, with houses posting annual capital growth of +6.54 per cent, while units have appreciated +6.46 per cent over the same timeframe. You can expect weekly rent in the region of $230 for a unit and $530 for a house.
Invest here if you like…to be far, far away from the big smoke!
- Median house price: $880,000
- Median rent (houses): $578 per week
