How Lismore property market’s 25% growth stunned NSW

 

The Lismore property market has faced severe challenges in recent memory. So it’s hard to believe that the northern NSW city has become one of the strongest real estate markets in New South Wales.

Between September 2023 and September 2024, the Lismore property market was the strongest performing area in regional NSW thanks to property buyback schemes and general recovery from major flooding.

Lismore is one of the more prominent towns in the Northern Rivers region. Alongside this status, it is known for being an educational hub and a gateway to several popular tourist stops.

Yet the town has frequently been hit by devastating floods and storms. The impact of these storms has hit Lismore hard yet the region is still recovering. So how is the Lismore property market always able to bounce back?

Lismore Profile

Situated in the Northern Rivers region, Lismore has grown to become one of the principal towns of the area. Straddling the Wilsons River, the city has grown substantially to support a wider community of nearly 50,000. This not only encompasses Lismore itself but also growing suburbs such as Goonellabah and country towns such as Nimbin and Dunoon.

Once a thriving river port, Lismore has adapted as history has progressed. It sits on the Bruxner highway linking Queensland to tourist hotspots like Ballina and Byron Bay. Furthermore, Lismore is also home to one of Southern Cross University’s three main campuses. This very much has enabled the town to diversify its economy and see the Lismore property market prosper in the past few decades.

However, the area is also highly susceptible to dangerous floods. With the town located on the confluence of Leycester Creek and Wilson River, it has been the setting of major floods. In 2022, major floods reached a record height of 14.4m. This caused widespread damage in the town leading it into full recovery mode. Having also seen major floods in 2017, it was a reminder of the threats that the town can face from Mother Nature.

General Facts

Population: 43,907 (2023)

Dwellings: 19,974

Households 18,390

Average Age: 44 years

Lismore Property Market Trends 

Lismore

Despite the 2022 floods, the Lismore property market continues to perform strongly. Figures from Domain showed that the region enjoyed a price increase of 15% between September 2023-2024. This saw prices skyrocket by 25.1% over the last 12 months. This took average house prices from $467,500 to $585,000.

Much of this price increase was generated thanks to the NSW Government’s Resilient Homes Program. This enables affected residents in Lismore to buy back homes deemed at high risk. With incentives and funds supported by local government, it has spurned a huge uptake around the city to boost spending in the Lismore property market. All this has taken the local property scene to become one of the best performing in NSW.

Population: 28.816

Average House Price: $585,000

Average Unit Price: $351,500

Average Rental Figure: $500p/w (house) $365p/w (unit)

Goonellabah

Directly east of Lismore, Goonellabah has grown substantially in recent years. The satellite town’s population has swelled to over 13,000 people and is an important link in the local region. For example, it is home to the council offices of the Lismore City LGA and sits on both sides of the Bruxner Highway.

Goonellabah is also situated away from the high-risk flooding areas. This makes it one of the most sought-after regions in the Lismore property market. The average house price in the town is $679,000 – a significant increase on nearby Lismore. Units are also hard to get hold of too with a 2-bedroom unit looking to set you back $450,000. All this and its diversified mix equates to why it is one of the more premium areas of the Lismore property market.

Population: 13,862

Average House Price: $679,000

Average Unit Price: $502,000

Average Rental Figure: $580p/w (house), $420p/w

South Lismore

There is perhaps no area more susceptible to nature than South Lismore. The suburb is wedged between Leycester Creek and Wilsons River – putting it at extremely high risk of floods. That doesn’t mean it isn’t an area of low value. Especially with Lismore railway station and the local airstrip being found here.

Like Lismore itself, South Lismore has experienced significant increases in recent months. In the past year, property prices have increased here by 25% to an average of $300,000. This means that a 3-bedroom house will cost $340,000 making it one of the cheaper values in the region. Homeowners will also qualify for protection funds from flooding adding to interest from buyers. All this makes it one of the better-performing parts of the Lismore property market.

Population: 1,608

Average House Price: $300,000

Average Rental Figure: $500p/w (house), $350p/w (unit)

Nimbin

North of Lismore is the rapidly growing town of Nimbin. The town is home to around 2,500 thanks to its stunning natural setting but also a unique cultural phenomenon. The town’s laid-back nature has made it one of the biggest hubs for the cannabis industry in Australia. It holds regular festivals celebrating its legalization and the growing industry around it.

All this success has had an impact on Nimbin’s property values. Homes in the town have seen their value increase by 11% to reach an average value of $635,000. What this means is that an average 3-bedroom house will set you back approximately $700,000. It makes it one of the more exclusive and highest-performing sectors in the Lismore property market. A feat that doesn’t look like changing anytime soon.

Population: 2,422

Average House Price: $635,000

Average Rental Price: $497p/w

Richmond Hill

Situated on the northeast fringes of Lismore is Richmond Hill. It’s fair to say that this outer suburb is the most exclusive within the Lismore property market. A predominantly rural area, it sprawls across the nearby hillsides all linked via Richmond Hill Road. With a population of 2,400, it has slowly expanded as Lismore itself has expanded too.

Yet the most notable aspect of Richmond Hill is the property values. Here, the average value breaks seven figures reaching an average of $1m exactly. It marks a 5% increase between October 2023-2024 and sees it hit the 7-figure mark for the first time since late 2022. Values haven’t yet reached the pre-2022 flood record of $1.15m but it has started to climb once again. All this underlines why the area is the most expensive in the entire Lismore property market.

Population: 2,406

Average House Price: $1,000,000

Conclusion

It’s clear to see that the Lismore property market is well on its way to recovery. After the 2022 floods devastated the town, there was a need for things to change. This has happened thanks to NSW Government support and helped it grow tremendously since then. It’s why the 25% growth in property prices has made it one of the best-performing regions in New South Wales.

Yet it comes with a variety of different housing types and prices available. In affected areas like Lismore & South Lismore, prices are much lower but have been some of the best performing all-round. However, satellite towns such as Goonellabah and Nimbin have also benefitted thanks to growing populations and natural protection from the elements. All these combined to make the Lismore property market one of the strongest in NSW and help the region recover from devastating losses. 

To seek out the best options for purchasing a home, speak to a Wise Buy Home Lender for guidance today.

Our property experts can give you all the advice you need to work out the best way to get on the property ladder today. Speak to our team today to see how they can help you explore the Lismore property market today.