One common thread that has been running through the current O'Farrell government policy is its bias towards Sydney's West. Whether it be the North West Rail Link or the 13000 lot land releases in Catherine Field and Marsden Park; the conservative government is certainly recognising that the West will play a key role in facilitating the 1.5million population growth that Sydney is tipped to experience by 2035.

Central to this policy is Blacktown. An unsung hero, waiting for its time to shine. But this Aussie battler might not have to wait very long. Blacktown brings to the table the big three; Net population growth, high yields in multiple asset classes, and current/future infrastructure spend.

If you were to look to surrounding suburbs to gauge potential growth then Blacktown compares badly. It may, however, be more relevant to look to other suburb with similar attributes, instead of its direct neighbours, for a price comparisons. In doing this one could look to the Parramatta CBD, like Blacktown it is a self servicing hub, and it is currently sitting 20-30% above Blacktown median pricing.

You might suggest that this is apples and oranges, as Parramatta is much closer to the CBD. But in retort, Blacktown has amazing road, rail and bus access in all directions. You have the M4, M2 and M7 motorways; the Western Railway Link or Cumberland Railway lines which also intersect the suburb. It is 38minutes to the CBD via express train, with excellent regularity during peak times.

It must be noted that the positive government policy may be a double edged sword. Although the area as a whole is set to benefit from the larger population base and the improved transport infrastructure, a land release in a focused area will create an influx of localised supply - taking the heat our of nearby property pockets. So whilst generally the area is a buy recommendation, the pockets near the M7 around Dean Park, and then further south towards Doonside, may present higher risk of land release due to their proximity to transport and the nearby land bank tracts.

Blacktown is comprised of just over 50% 3 bedroom properties, and over 60% houses. This matches well given the core demand from family's in the suburb. As an investment it would be unwise to deviate to much from this formula, and it might be worth paying slightly more than median to purchase an above average size block - with possibility for multi-dwellings down the track. Current median prices for 3 bedroom properties is around the $372,000 mark, with a respectable yield in this segment of approximately 6.36%. Current 3 bedrooms with renovation potential over above average block size can be found for just under this median.

It should be noted that there is a cold price pocket, towards the Arndell Park Industrial area - representing an area that has recently showed slowing in property prices and generally low proximity to amenities, when compared to the remainder of the suburb.

As there are a no strong Blue Chip or Gentrification zones within Blacktown in the recent term, but generally properties surrounding the Blacktown showground to the north and south represent an area with excellent amenity and established property.

Check out the Ripehouse analysis page for Blacktown. So with great access to surrounding areas, a general willingness from government policy to the support the area's growth and excellent yields, Blacktown is offering a compelling case for your next Sydney Investment purchase. If you are set on investing in Australia's biggest property market, it would be hard to look past the yields and growth in Sydney's west.

Analyse Blacktown

Suburb Pricing

• Current List Price:

  $364,555

• Avg. Current Rent Price:

  $368pw

• Avg. Historical Sold Price:

  $364,991

• Current Rental Return:

  5.24%

Analyse Returns and Pricing