The annual realestate.com.au Hot 100 has pinpointed the suburbs expected to outperform in 2026 and beyond, as infrastructure, gentrification and demographic change reshape markets nationwide.
This follows a year of surging investor activity, an 11‑quarter house price winning streak, and worsening affordability despite three RBA cuts and expanded first‑home buyer support.
Two‑thirds of the list are capital city suburbs and one‑third regional locations. The cheapest suburb has a median house price below $400,000, and several offer gross rental yields above 7%, putting them firmly on investors’ radars.
REA Group senior economist Eleanor Creagh (pictured) said many of the Hot 100 suburbs sit in emerging growth corridors tied to major projects such as new airports, metro lines, and stadiums.
“Generally, price growth and investor interest tend to concentrate where new employment, upgraded transport, and new home delivery with anticipated population growth are intersecting,” Creagh said.
Western Sydney features heavily around the new airport and its “associated infrastructure corridor with new metro and rail connections," while Queensland’s entries split between “inner Brisbane gentrification” and the broader southeast growth story, with “relatively affordable housing, strong jobs growth and transport hubs and Olympic-tied infrastructure” lifting demand.
Darwin has emerged as a standout capital after a decade of underperformance, now sitting just behind Perth for annual price growth.
Outside the capitals, affordability is a key theme, but regional picks are larger hubs “supported by health, education, agriculture, logistics, and tourism,” Creagh said.
The growth pattern has also rotated, with “Darwin, Hobart, Melbourne, and Sydney” seeing the fastest acceleration in gains, while Brisbane, Adelaide and Perth still record strong rises but no longer at an increasing pace.
With rates now expected to stay on hold for longer, Creagh said “affordability constraints are likely to see price growth moderate throughout 2026.”
The list was compiled by a panel of industry experts and underpinned by PropTrack data and economic analysis. Suburbs were nominated for their affordability, lifestyle and amenity, family appeal, location, investment prospects, gentrification, population and demographic trends, and major infrastructure drivers.
About a quarter of this year’s Hot 100 sits in NSW, with many picks linked to the state’s rezoning push and the soon‑to‑open Western Sydney Airport.
Southwest Sydney hubs Austral and Leppington have been reshaped by large‑scale rezoning and master‑planning. Austral, once dominated by acreage, is set to accommodate more than 17,000 homes and about 55,000 residents, up from just 3,000 people in 2016 and almost 7,000 in 2021. Proximity to the 24/7 airport and new transport links is expected to support values.
Box Hill in the northwest tells a similar story. Rezoned in 2013, it is on track to house almost 50,000 residents, up from just 902 in the 2016 Census, with house prices up 10% in the past year to a median $1.297m as acreages give way to new estates.
The airport corridor is also driving demand in Silverdale, Wallacia, and St Marys, which are attracting young families and workers drawn by tens of thousands of direct and indirect jobs expected between now and 2030. St Marys is being reshaped by the metro line that will link it to the new airport and Bradfield city.
In the inner and middle rings, gentrification and transport upgrades dominate. Earlwood is transitioning as long‑established migrant families sell to tradies and young families. Newtown is highlighted for its cultural pull and home price gains of more than 50% since 2015, supported by strong transport links and a young renter‑heavy population.
Redfern is now in the latter stage of gentrification, with restored terraces and a major retail and dining precinct replacing the rundown complex locals once called the “death mall” or “murder mall”.
“Its heritage terraces, warehouse conversions, and inner-city convenience make it a key beneficiary of Sydney’s urban consolidation,” Veronica Morgan told PropTrack. “Redfern is now more ‘premium edge' than fringe.”
Transport‑oriented development is front and centre at Hornsby, one of eight Transport Orientated Development Accelerated Precincts, and at Five Dock, where a future metro station on the Western Sydney Airport line is expected to cut CBD travel to about eight minutes. Morgan describes Five Dock as a “standout choice” thanks to its balance of heritage charm and incoming infrastructure.
Little Bay, South Coogee, and Sans Souci offer eastern and southern beachside alternatives to Bondi, while regional picks such as Bathurst, Dubbo, Tamworth, Bateau Bay, Boambee East, Calderwood, Charlestown and Wyoming combine lifestyle appeal, diversified economies, and relative affordability.
Victoria contributes 22 suburbs to the Hot 100, nine of them regional, as Melbourne prices return to record highs and affordability pressures spread.
Outer‑growth corridors Clyde North, Cranbourne East, Tarneit, Werribee, and Winter Valley are singled out for rapid population growth, new schools and town centres, and relative affordability. They continue to attract first‑home buyers and investors seeking larger family homes and solid yields within commuting distance of Melbourne, Geelong, or Ballarat.
Clyde North is described as offering “exceptional affordability and long-term growth potential” in the south‑east growth corridor, while neighbouring Cranbourne East is one of Australia’s fastest‑growing population areas, underpinned by large master‑planned estates, new schools and emerging retail and recreation hubs.
Middle‑ring suburbs Lalor, Ringwood East and Lilydale offer strong connectivity, school options and renovation potential while remaining cheaper than inner‑east counterparts. Lalor remains one of the last options within about 18km of the CBD where a three‑bedroom brick veneer home on 500sqm can still be found within $800,000.
In the inner south and bayside, Elsternwick, Port Melbourne, Oakleigh, Mount Waverley and Williamstown stand out. Port Melbourne has evolved from working port to blue‑chip bayside destination; Oakleigh offers “fantastic value” despite a median house price above $1.3m, supported by a new metro rail link and proximity to Chadstone; and Williamstown, often called the “jewel in the west”, combines bay views, a village feel and improved travel times post‑tunnel works.
Regional standouts such as Ararat and Mildura offer diversified economies, affordable buy‑in, and strong growth. Ararat’s agribusiness‑ and tourism‑led economy is expected to deliver some of Victoria’s strongest gains over the next three to five years, while Mildura has seen prices climb more than 13% in the past year to $520,000 as investors and first‑home buyers chase value and deep rental demand.
With 17 nominations, Queensland’s story is one of affordability, infrastructure and the 2032 Olympic halo.
In Brisbane and surrounds, Bray Park, Griffin, Petrie, Wavell Heights, Herston, Yeronga, Logan Central, Highfields, Lowood and Plainland lead the way. They benefit from strong rental demand, upgraded transport links, health and education precincts and – in Herston’s case – the future Olympic stadium in Victoria Park.
“Much of the new infrastructure for the 2032 Brisbane Olympics will be centred in and around Victoria Park, which will further improve the liveability and demand to live in this suburb,” University of Adelaide’s Peter Koulizos said.
Ripley, Plainland, Logan Central and Lowood sit in fast‑growing corridors between Brisbane, Ipswich, Toowoomba and the Gold Coast, while Baringa and Upper Coomera provide lifestyle‑driven options on the Sunshine Coast and Gold Coast without beachfront prices.
Regional cities Bundaberg, Cairns, Mackay, and Townsville combine diverse economies, major investment and lifestyle appeal with relatively affordable prices and tight rental markets.
“Cairns’ economic profile now has a much thicker soup than the 1980s when tourism dominated,” Simon Pressley said, noting housing is “very tight, including a rental vacancy rate which has been below 1.5% for more than five years”.
“Townsville is a prime spot for property investors thanks to its strong rental yields, low vacancy rates, and booming infrastructure - driven by growth in defence, healthcare, and renewable energy sectors,” Elders’ Belinda Connor said.
South Australia’s nine picks are dominated by affordable growth plays. Inner and near‑city suburbs Brooklyn Park, Brompton, Ovingham, Port Adelaide, and new suburb Southwark are positioned to benefit from proximity to the CBD and key jobs hubs plus major renewal projects, while Elizabeth North and Murray Bridge further out combine rapid price growth with low buy‑in and solid yields.
All nine WA nominations have recorded double‑digit annual gains. Albany, Alkimos, Applecross, Baldivis, Ellenbrook, Carlisle, Nollamara, Rockingham and South Bunbury combine transport upgrades, coastal lifestyle and relative value compared with inner‑Perth coastal stock.
The ACT’s five suburbs – Bonython, Denman Prospect, Giralang, Melba and O’Connor – share family appeal, larger blocks and strong access to jobs and services.
“Despite its proximity to Civic, it feels peaceful and lush thanks to the grand trees that line the streets,” Canberra buyer’s agent Claire Corby said of O’Connor.
Tasmania’s eight picks range from high‑yield Acton in Burnie – where “median home prices [are] up 94.9% in five years” – to prestige Battery Point, which John McGrath says is “trading at a discount” despite its waterfront status.
“Battery Point continues to shine as one of Tasmania’s most cherished suburbs, perfectly positioned to be a real hotspot in 2026,” Matt Lahood said.
The Northern Territory has more suburbs in the 2026 Hot 100 than in the previous three years combined. Millner and Rapid Creek in Darwin’s north, plus Rosebery and Zuccoli in Palmerston and inner‑suburb Parap, offer relatively affordable housing, strong rental demand and exposure to defence, education and services jobs.
“The nearby Charles Darwin University provides a large pool of both students and lecturers, who are looking to live close to the university,” Koulizos said. “This places upward pressure on rents.”
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