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Cheltenham

NSW 2119LGA: Hornsby Shire

Investment Score

78

/100

AI Intelligence Summary

Cheltenham NSW 2119 is a prestigious Upper North Shore suburb located 20km north of Sydney CBD, offering an exceptional blend of coastal proximity and metropolitan convenience. With a population of 3,200 predominantly affluent families, the suburb boasts a median household income of $95,000 and strong educational outcomes with 42% university-educated residents. The property market is dominated by detached houses on generous 650sqm blocks, with median house prices of $1.85 million reflecting the area's premium positioning. Strong capital growth of 42.8% over five years demonstrates consistent market performance, while low vacancy rates of 1.8% indicate strong rental demand. The community enjoys excellent schools, low crime rates, and family-friendly amenities, though transport options are limited to bus services connecting to major hubs. Investment fundamentals remain solid with steady demand from families seeking quality lifestyle, proximity to beaches, and access to highly-regarded educational facilities.

Strengths

  • Premium Upper North Shore location with strong capital growth history
  • Excellent school catchments and educational opportunities
  • Close proximity to Northern Beaches coastline (3km)
  • Low crime rates and high safety ratings

Opportunities

  • Continued demand from families seeking premium lifestyle
  • Potential for property renovations and improvements on large blocks
  • Growing appeal of coastal proximity post-COVID
  • Infrastructure improvements planned for broader region

Considerations

  • Limited public transport options with no direct rail access
  • High property prices creating affordability barriers
  • Dependence on private vehicles for commuting
  • Limited retail and dining options within suburb

Property Market

Median House

$1.85M

+8.2% 1yr

Median Unit

$980K

+6.8% 1yr

Median Townhouse

$1.42M

Rent (House)

$950/wk

Rent (Unit)

$780/wk

Days on Market

32

Vacancy Rate

1.8%

Auction Clearance

72.0%

Price Growth

Type1 Year3 Year5 Year
House+8.2%+24.5%+42.8%
Unit+6.8%+22.1%+38.5%

Rental Yields

House Yield

2.8%

Unit Yield

4.2%

Townhouse Yield

3.1%

Investment Scorecard

Overall Investment Score78/100
Growth Potential75/100
Cashflow Score65/100
Risk Score (lower = safer)72/100
Affordability Index45/100

Demand/Supply Ratio: 1.80

Demand exceeds supply — favourable for sellers

Tax & Financial Intelligence

CPA-grade analysis for Cheltenham at median house price

Standard transfer
$84,140
First Home Buyer
$84,140
Foreign buyer surcharge
$148,000

+8% surcharge

Annual rent income
$49,400

$950/wk

Interest (80% LVR @ 6.5%)
-$96,200
Other expenses (~2.5%)
-$46,250
Net rental position
-$93,050

Negatively geared

Tax benefit (39% MTR)
+$36,290

Reduces taxable income

After-tax holding cost
$56,761/yr

~$1,092/week

Based on 8.6% p.a. growth (from 5-year trend), 50% CGT discount, 39% MTR

5-Year Hold

Est. value
$2.79M
Capital gain
$846,075
After discount
$423,037
CGT payable
$164,985

10-Year Hold

Est. value
$4.21M
Capital gain
$2.26M
After discount
$1.13M
CGT payable
$441,210

Investor Quick Summary

Entry cost (stamp duty)

$84,140

After-tax yield

1.71%

Weekly holding cost

$1092/wk

10yr CGT (est.)

$441,210

Estimates based on FY2025 NSW rates at median house price. Assumes 80% LVR, 6.5% interest rate, 39% marginal tax rate ($135K-$190K bracket). Individual circumstances vary. This is general information only and not personal financial advice. Consult your CPA before making investment decisions. Local Knowledge Pty Ltd — Registered Tax Agent.

Demographics

Population

3,200

Median Age

42

Median Income

$95K

per annum

Family Households

68.0%

Professionals

48.0%

University Educated

42.0%

Unemployment

3.2%

Born Overseas

32.0%

Dwelling Mix

Houses: 75%Units: 18%Townhouses: 7%Total: 1,250

Lifestyle & Community

Walkability65/100
Public Transport6/10
Schools Rating8/10
Safety8/10
Family Friendly9/10
Cafes & Restaurants

12

Parks

8

Hospitals

1

Distance to CBD

20.0 km

Nearest Station: Chatswood Station

Coastal proximity, excellent schools, family parks, quiet residential streets, and strong community connections define the Cheltenham lifestyle.

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Data sourced from multiple sources. Last updated 26 March 2026.

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