By Rich Harvey, CEO & Founder, propertybuyer.com.au
Sydney’s inner west continues to be one of the most sought-after regions, with a perfect blend of capital growth potential, lifestyle appeal, and proximity to the CBD. As urban development accelerates and the demand for homes in these established communities remains strong, investors and homeowners alike are looking towards these suburbs for future growth opportunities. Whether you’re interested in family-friendly house markets or high-demand unit precincts, the inner west provides an array of appealing options.
Below, we explore five top-performing house suburbs and five strong unit markets among Sydney’s property hotspots 2025, each with valuable data to support smart investment decisions.
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Houses: Solid Growth with Long-Term Potential
Five Dock, 2046
Five Dock has emerged as one of the Sydney inner west property market’s most consistent property performers, with values soaring by 125% over the past decade and 47.4% growth recorded in the last five years alone. This upward trajectory is underpinned by the suburb’s prime location near the CBD, access to quality schools, expansive parks, and a vibrant community atmosphere. Its family-friendly appeal is enhanced by a growing café and dining culture, alongside a well-established local shopping precinct.
Recent revitalisation along Great North Road has added to the suburb’s charm, with upgraded streetscapes, new retail outlets, and a mix of cafés, restaurants, and small commercial offices. The upcoming metro station, coupled with existing access to the M4 and other major transport links, further boosts Five Dock’s connectivity. With strong demand, limited supply, and ongoing infrastructure investment, the suburb continues to attract both homebuyers and investors seeking long-term capital growth.
Median House Price: $2,600,000
Median Unit Price: $1,100,000
Croydon, 2132
Croydon has experienced outstanding growth, with property values increasing by 163% over the past decade. In just the past year, prices have risen by 20.3%, highlighting the suburb’s growing appeal. As one of the emerging property hotspots Sydney has to offer, and located only 9km from the CBD, Croydon attracts both families and professionals with its central position, excellent public transport, and residential charm. The area is known for its well-preserved heritage homes, leafy streets, and strong sense of community.
Recent improvements to local parks, shops, and infrastructure have further enhanced the suburb’s liveability. Croydon is serviced by a centrally located train station on the main line into the city, offering commuters a straightforward and efficient journey. The presence of a prestigious private school, PLC Sydney, adds to its appeal for families seeking quality education options. With increasing demand and limited supply, Croydon is well-positioned for continued capital growth in the years ahead.
Median House Price: $2,400,000
Median Unit Price: $800,000
Concord, 2137
Concord, situated on the outer fringe of Sydney's inner west, has gained significant popularity in recent years. Recognised as one of the best Inner West suburbs Sydney has to offer, the suburb's main thoroughfare, Majors Bay Road, features a vibrant strip of retail shops, cafés, and restaurants, complemented by green spaces such as Rothwell Park. Over the past decade, property values have increased by 126%, with a notable 6.42% growth in the past year alone.
Renowned for its tranquil, family-friendly atmosphere, Concord offers a range of parks, recreational facilities, and top-tier schools. Its proximity to major transport links, including the M4, ensures easy commuting to the city and surrounding suburbs. The evolving local infrastructure, including retail precincts and dining options, adds to the suburb's appeal. With larger land blocks, more freestanding houses, and a suburban charm, Concord remains a prime location for long-term investment. Additionally, the nearby train station at North Strathfield and multiple bus stops further enhance its connectivity.
Median House Price: $2,900,000
Median Unit Price: $1,100,000
Rozelle, 2039
Rozelle has recorded a 4.10% rise in property values over the past year and a strong 76.92% increase over the last decade, reflecting its steady long-term performance. Just minutes from the CBD, Rozelle is prized for its elevated views of Sydney Harbour and its enduring appeal as one of the inner west’s most sought-after suburbs. The area is defined by leafy streets, heritage charm, and a thriving local scene that includes boutique cafés, pubs, and community events.
Darling Street serves as the suburb’s main artery, linking Rozelle to Balmain, and is lined with an eclectic mix of pubs and eateries that reflect a distinctly Australian character with a hint of European influence. With its combination of capital growth potential, lifestyle appeal, and ongoing local improvements, Rozelle remains a compelling choice for both homeowners and investors.
Median House Price: $2,200,000
Median Unit Price: $1,400,000
Annandale, 2038
Annandale, just 5km from the Sydney CBD, has long been a prized inner west location thanks to its leafy streets and city-fringe convenience. Property values in the suburb have increased by 80.50% over the past decade, with a strong 9.41% rise in the last year alone—highlighting its continued appeal. The suburb is known for its charming mix of heritage homes, terrace houses, townhouses, and well-designed apartments, making it highly attractive to both families and professionals.
Annandale offers a strong sense of community, excellent schools, and abundant green spaces, all within easy reach of major transport routes. Its main retail hub along Booth Street features an inviting mix of cafés, shops, and a well-loved local pub, enhancing the suburb’s lifestyle offering. With growing demand and its position in one of Sydney’s most desirable pockets, Annandale stands out as a suburb with excellent long-term capital growth potential.
Median House Price: $2,200,000
Median Unit Price: $1,050,000
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Units: Strong Demand and Lifestyle Appeal
Dulwich Hill, 2203
Dulwich Hill has recorded solid growth, with property values rising by 8.80% over the past year. This appealing inner west suburb strikes a desirable balance between inner-city convenience and more spacious land parcels, making it attractive to a wide demographic—including families, investors, and downsizers. Housing stock in the area is diverse, offering everything from apartments and townhouses to semi-detached homes and classic terraces.
Well-serviced by public transport, Dulwich Hill benefits from light rail access, frequent bus routes, and proximity to the upcoming metro line, which will further improve connectivity to the CBD and surrounding suburbs. Its vibrant local amenities—including leafy parks, cafés, and a range of shops—add to its strong lifestyle appeal. With a healthy rental yield of 4.30%, continued infrastructure upgrades, and increasing demand, the suburb is especially popular among young professionals.
Median House Price: $2,200,000
Median Unit Price: $920,000
Marrickville, 2204
Marrickville’s unit market has recorded a remarkable 125% growth over the past decade, with a solid 7.25% increase in the past year alone. Known for its cultural richness and creative energy, the suburb has become a favourite among renters and homebuyers seeking a vibrant, community-driven lifestyle. Marrickville continues to evolve through gentrification, while retaining its unique charm and strong sense of identity. Its proximity to the CBD, excellent public transport options, and abundance of amenities make it a consistently high-demand location.
Situated slightly further south in the inner west, Marrickville borders the Cooks River and features one of the region’s largest retail and commercial precincts centred around Marrickville Station. The suburb is renowned for its diverse culinary scene, with standout Vietnamese and Greek influences, as well as a growing number of independent shops and cafés. With resilient market performance and strong rental demand, Marrickville offers compelling long-term investment potential.
Median House Price: $2,100,000
Median Unit Price: $910,000
Ashfield, 2131
Ashfield has long been one of the inner west’s most sought-after suburbs, offering a vibrant mix of shops, restaurants, and cafés that contribute to its dynamic atmosphere. Over the past year, the suburb has experienced 7.14% growth, with property values rising by a substantial 71.11% over the past decade. Its central location, close to public transport and essential amenities, makes it a popular choice for both renters and homeowners.
The suburb continues to benefit from ongoing infrastructure improvements and rising demand for inner west properties. Ashfield’s unit market, which includes a range of 1970s three-storey walk-ups and modern apartments, is showing strong rental appeal. The area also features a growing commercial hub, with more high-rise buildings and a vibrant retail centre. Well-served by transport links, including the same train line as nearby Croydon and Strathfield, Ashfield offers excellent connectivity to surrounding areas and the CBD. With its more affordable housing options, it remains particularly popular with younger residents.
Median House Price: $2,100,000
Median Unit Price: $820,000
Strathfield, 2135
Strathfield is one of the inner west’s most established and sought-after suburbs, offering a unique blend of modern development and heritage charm. Known for its well-developed town centre, Strathfield boasts a range of high-rise apartments, as well as an incredible selection of freestanding properties, many of which showcase the suburb’s rich heritage. The combination of modern living options and heritage buildings makes Strathfield an appealing destination for a wide demographic, from families and professionals to investors and downsizers. The suburb has seen a strong 14.2% growth in property values over the past year, along with a solid 5.1% rental yield, offering potential for strong rental returns.
The suburb benefits from excellent transport links, being on the main train line and offering easy access to both the CBD and surrounding suburbs. Its vibrant shopping and dining precinct, coupled with an abundance of parks and recreational facilities, contribute to a highly desirable lifestyle. While it remains one of the more outer areas of the inner west, Strathfield’s proximity to major transport hubs, its dynamic community, and its appealing mix of housing options make it a top contender for long-term capital growth and steady rental returns.
Median House Price: $3,900,000
Median Unit Price: $750,000
Abbotsford, 2046
Abbotsford, nestled along the Parramatta River (an arm of Sydney Harbour) in the northern part of the inner west, is gaining popularity for its peaceful bayside lifestyle and strong connectivity. The suburb has seen 40.20% growth in property values over the past five years, underpinned by north-facing homes, leafy streets, and scenic waterfront views. A mix of apartments, townhouses, and Torrens-titled homes attracts a broad demographic, supported by local schools, parks, and a charming sailing club. The ferry wharf provides easy access to the city via Sydney Harbour, further enhancing the suburb’s appeal.
For investors, Abbotsford offers steady rental yields and strong long-term prospects. Unit demand remains solid thanks to the area’s liveability and range of property types. As development continues and interest in quiet, well-connected suburbs rises, Abbotsford stands out as a compelling option for both capital growth and consistent rental returns.
Median House Price: $3,200,000
Median Unit Price: $1,350,000
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Infrastructure & Outlook
The inner west continues to benefit from major infrastructure upgrades, with the upcoming metro stations at Dulwich Hill, The Bays, North Strathfield, Burwood North and Five Dock expected to significantly enhance connectivity and reduce travel times across Sydney. These improvements, along with the ongoing revitalisation of local amenities, are boosting demand and reinforcing the region’s lifestyle and investment appeal. The area’s excellent public transport, walkability, and bike-friendly streets support a vibrant, active way of life while making it easier for residents to access key destinations with ease.
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Final Thoughts
The inner west of Sydney presents a richly diverse property landscape, appealing to both homebuyers and investors alike. Suburbs such as Croydon and Five Dock are well-regarded for their strong long-term capital growth, making them ideal for those focused on building equity. Meanwhile, Strathfield, Ashfield, and Dulwich Hill offer impressive rental yields, appealing to investors seeking reliable cash flow and consistently high tenant demand.
Now is a strategic time to make a move, as demand across the inner west continues to rise while quality listings become increasingly scarce. Many of the best properties—particularly in tightly held, high-growth areas like Annandale and Five Dock—are sold off-market before reaching the public.
Partnering with a buyers agent Inner West can give you a crucial edge. At Propertybuyer,, we specialise in accessing off-market opportunities and negotiating exceptional outcomes in some of Sydney’s most competitive suburbs. Whether you're searching for a family-friendly location with long-term upside like Croydon, or a high-performing unit market such as Dulwich Hill, our local experts are here to guide you to the right suburb and secure the best possible property for your goals.
Book your consultation today and get ahead of the competition.
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