Kempsey
Investment Score
72
/100
AI Intelligence Summary
Kempsey is a regional town on NSW's Mid North Coast, serving as the administrative center of Kempsey Shire Council approximately 430km north of Sydney. The town offers an affordable coastal lifestyle with access to pristine beaches including South West Rocks and Hat Head National Park, alongside the recreational opportunities of the Macleay River. With a significant Aboriginal population and the Dunghutti people as traditional custodians, Kempsey maintains strong cultural heritage. The property market remains highly affordable compared to major NSW cities, experiencing moderate growth following regional trends post-COVID. The community benefits from essential services including hospitals, schools, and shopping centers, with a strong events calendar featuring agricultural shows and cultural festivals. While transport connectivity relies primarily on the Pacific Highway and limited public transport options, the town's proximity to beaches and rivers positively influences lifestyle appeal and property values. The area experiences population fluctuations due to seasonal work and tourism, with a median age typically higher than the NSW average due to retiree migration to coastal areas.
Strengths
- •Highly affordable property market compared to major NSW cities
- •Excellent access to beaches and coastal recreation including South West Rocks
- •Strong cultural heritage with significant Aboriginal community
- •Essential services including hospital, schools, and shopping facilities
Opportunities
- •Growing retiree migration to coastal regional areas
- •Potential for eco-tourism development near national parks
- •Infrastructure improvements and highway upgrades
- •Increasing demand for affordable coastal lifestyle properties
Considerations
- •Limited public transport options and commercial flight services
- •Population fluctuations due to seasonal work affecting market stability
- •Distance from major employment centers and Sydney CBD
- •Variable NBN and mobile coverage in rural areas
Property Market
$385K
+8.5% 1yr
$285K
+7.8% 1yr
$335K
$350/wk
$295/wk
45
1.8%
65.0%
Price Growth
| Type | 1 Year | 3 Year | 5 Year |
|---|---|---|---|
| House | +8.5% | +18.2% | +28.7% |
| Unit | +7.8% | +16.5% | +25.3% |
Rental Yields
House Yield
4.8%
Unit Yield
5.4%
Townhouse Yield
5.1%
Investment Scorecard
Demand/Supply Ratio: 1.40
Demand exceeds supply — favourable for sellers
Tax & Financial Intelligence
CPA-grade analysis for Kempsey at median house price
Save $11,855
+8% surcharge
$350/wk
Negatively geared
Reduces taxable income
~$134/week
Based on 5.7% p.a. growth (from 5-year trend), 50% CGT discount, 39% MTR
5-Year Hold
10-Year Hold
Investor Quick Summary
Entry cost (stamp duty)
$11,855
After-tax yield
2.93%
Weekly holding cost
$134/wk
10yr CGT (est.)
$53,424
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
12,500
44
$48K
per annum
58.0%
28.0%
18.0%
7.2%
12.0%
Dwelling Mix
Lifestyle & Community
25
8
1
430.0 km
Nearest Station: No passenger rail service
Coastal regional lifestyle with river recreation, beach access, and community events in a peaceful rural setting with essential services and amenities.
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Data sourced from multiple sources. Last updated 25 March 2026.