All Suburbs

Redfern

NSW 2016LGA: City of Sydney

Investment Score

78

/100

AI Intelligence Summary

Redfern is a vibrant inner-city suburb just 3km south of Sydney CBD, representing one of Australia's most significant urban Aboriginal communities with a rich cultural heritage. The area has undergone substantial gentrification over the past decade, transforming from a predominantly social housing precinct to a diverse, cosmopolitan neighborhood attracting young professionals, students, and creatives. With excellent transport connectivity via Redfern Station and proximity to major universities including Sydney University and UTS, the suburb offers an urban lifestyle with strong rental demand. The property market shows robust growth with median house prices around $1.65M and units at $785K, supported by low vacancy rates and solid rental yields. Redfern's cultural renaissance is evident in its thriving arts scene, diverse dining options, and ongoing urban renewal projects, making it increasingly attractive to investors and residents seeking inner-city convenience with authentic character.

Strengths

  • Exceptional transport connectivity with major railway interchange
  • Prime location 3km from Sydney CBD
  • Strong cultural identity and vibrant arts scene
  • Proximity to major universities driving rental demand

Opportunities

  • Continued urban renewal projects enhancing streetscapes
  • Growing creative and tech industries in the area
  • Potential for heritage building conversions
  • Increasing tourism and cultural tourism potential

Considerations

  • High crime index compared to other inner suburbs
  • Limited parking availability
  • Gentrification pressures on existing communities
  • Higher noise levels from transport and nightlife

Property Market

Median House

$1.65M

+7.2% 1yr

Median Unit

$785K

+6.8% 1yr

Median Townhouse

$1.28M

Rent (House)

$1,200/wk

Rent (Unit)

$785/wk

Days on Market

28

Vacancy Rate

1.8%

Auction Clearance

72.0%

Price Growth

Type1 Year3 Year5 Year
House+7.2%+18.5%+42.3%
Unit+6.8%+16.2%+38.7%

Rental Yields

House Yield

3.8%

Unit Yield

5.2%

Townhouse Yield

4.1%

Investment Scorecard

Overall Investment Score78/100
Growth Potential82/100
Cashflow Score75/100
Risk Score (lower = safer)65/100
Affordability Index58/100

Demand/Supply Ratio: 1.80

Demand exceeds supply — favourable for sellers

Tax & Financial Intelligence

CPA-grade analysis for Redfern at median house price

Standard transfer
$73,140
First Home Buyer
$73,140
Foreign buyer surcharge
$132,000

+8% surcharge

Annual rent income
$62,400

$1200/wk

Interest (80% LVR @ 6.5%)
-$85,800
Other expenses (~2.5%)
-$41,250
Net rental position
-$64,650

Negatively geared

Tax benefit (39% MTR)
+$25,214

Reduces taxable income

After-tax holding cost
$39,437/yr

~$758/week

Based on 8.5% p.a. growth (from 5-year trend), 50% CGT discount, 39% MTR

5-Year Hold

Est. value
$2.48M
Capital gain
$745,074
After discount
$372,537
CGT payable
$145,289

10-Year Hold

Est. value
$3.72M
Capital gain
$1.99M
After discount
$992,751
CGT payable
$387,173

Investor Quick Summary

Entry cost (stamp duty)

$73,140

After-tax yield

2.32%

Weekly holding cost

$758/wk

10yr CGT (est.)

$387,173

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

14,200

Median Age

32

Median Income

$78K

per annum

Family Households

42.0%

Professionals

48.0%

University Educated

52.0%

Unemployment

6.2%

Born Overseas

38.0%

Dwelling Mix

Houses: 25%Units: 68%Townhouses: 7%Total: 6,800

Lifestyle & Community

Walkability85/100
Public Transport9/10
Schools Rating6/10
Safety6/10
Family Friendly5/10
Cafes & Restaurants

85

Parks

4

Hospitals

2

Distance to CBD

3.0 km

Nearest Station: Redfern Station

Urban lifestyle with excellent dining, arts, and entertainment options, plus easy access to CBD and universities. Strong community spirit with cultural events and festivals throughout the year.

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Data sourced from multiple sources. Last updated 29 March 2026.

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