Northern Illawarra Property Market Update (October 2026)

Last updated: 1 October 2026. The story this month is choice. In August, Thirroul had 44 houses listed for sale, more than Woonona's 35, even though Woonona sold 140 houses over the past year to Thirroul's 87. If you are buying in Thirroul, you currently have more stock to compare and less reason to rush. Woonona and Bulli remain the tightest end of the corridor, with homes selling in under four weeks and very few listings to choose from.

This week in the Northern Illawarra: Rate Rise Week, and a Thirroul Cottage Still Sold $70K Over Guide

Week ending 4 October 2026

The take: The RBA lifted the cash rate to 4.60% on Tuesday, the fourth rise this year, and the commentary says buyers will go quiet. Nobody told 63 Redman Avenue, Thirroul. A renovated circa 1900 weatherboard cottage listed on 17 September with a guide of $1.7 to $1.85 million and sold seven days later for $1.92 million. That is $70,000 over the top of the guide, in rate rise week.

Now the other end of the same fortnight. A neat 2001 townhouse at 57 Blueberry Circuit, Woonona, guided $1.25 to $1.3 million, sat for 22 days and sold for $1.2 million, $50,000 under the bottom of its guide. In Corrimal, a 2019 two bedroom unit guided $750,000 to $770,000 went for $825,000 in six days.

My read: buyers have not stopped paying. They have stopped chasing. Of the sales I tracked with a published guide, every one that sold inside 14 days closed at or above the middle of it, and three of the four that sat past three weeks closed below it. The exception was a sub-$600,000 Bellambi unit, and entry-level stock tends to behave differently.

The first fortnight is the whole auction. After that you are a vendor the market has already knocked back once, facing buyers whose budgets are roughly 9% smaller than before this year's four rises. Fresh stock is where the competition is. Day 22 is where the discount is. Most buyers keep fighting for the wrong one.

The numbers:

• Sydney clearance rate: 53%, down from 72% a year ago

• Verified sales within 5km of Bulli, 21 Sep to 2 Oct: 9, four of them inside 14 days

• 63 Redman Ave, Thirroul: $1.92M, $70K over guide, 7 days

The one action: Get your pre-approval re-run at the new 4.60% rate this week, then ignore the middle of the market. Pick one or two listings that have passed day 21 and open 4 to 5% under the bottom of the guide, which is where Blueberry Circuit just settled. Have finance confirmed before you call, because a vendor on day 22 has no patience for a buyer who still needs to check their borrowing.

The numbers: houses, 12 months to August 2026

• Woonona: median $1,457,500, up 9.1%. 140 sales, 24 days on market. Median rent $880 a week, up 3.5%.

• Bulli: median $1,800,000, up 9.9%. 70 sales, 25 days on market. Median rent $995 a week, up 17.1%.

• Thirroul: median $1,825,000, up 3.8%. 87 sales, 27 days on market. Median rent $1,150 a week, up 9.5%.

• Austinmer: median $1,885,000, up 1.2%. 35 sales, 45 days on market. Median rent $1,100 a week, up 22.2%.

• Coledale: median $2,045,000, down 18.2%. 24 sales (small sample), 60 days on market. Median rent $1,150 a week, up 18.6%.

What is driving it

Woonona and Bulli are still the volume end of the corridor. Woonona recorded 140 house sales, more than Thirroul, Austinmer and Coledale combined, and three-bedroom houses there rose 13.1% to a median of $1,275,000. Bulli's three-bedroom houses rose 15.8% to $1,465,000. With both suburbs selling in under four weeks and only 35 and 19 houses listed in August, well-presented homes are not sitting around.

Further north, buyers have more room. Thirroul's 44 listings are the deepest pool of houses in the corridor, and Austinmer (45 days) and Coledale (60 days) take roughly twice as long to sell as Woonona. Coledale's 18.2% fall needs care: 24 sales is a small sample, and a handful of prestige results can swing the median either way. Time on market is the more reliable signal, and it points to more negotiating room at the beach end.

Rents and yields

Rents have risen faster than prices in most of the corridor. House rents rose 22.2% in Austinmer, 18.6% in Coledale, 17.1% in Bulli and 9.5% in Thirroul, while Woonona was steadier at 3.5%. Vacancy runs from 0.4% in Woonona to 1.4% in Austinmer, so renting while you search is expensive and competitive. Gross yields range from about 2.8% in Coledale to 3.7% in Austinmer, which keeps this a capital growth market rather than an income one.

What this means if you are buying

• Woonona and Bulli: have finance approved and your due diligence ready before you inspect. Homes are selling in under four weeks. If a house is out of reach, Woonona units offer a lower entry point at a median of $810,000 from 43 sales.

• Thirroul: use the extra stock to compare properly rather than chasing the first good option. Units rose 11% to a median of $1,110,000 from 22 sales, a sign some buyers are stepping down a rung to stay in the suburb.

• Austinmer and Coledale: look for listings past 45 days. Those vendors are more likely to accept terms or a price below the original guide, but check comparable sales carefully because sample sizes are small.

From the ground this month

[JOEL: add 2 to 3 sentences on what you saw at inspections, auctions or off-market this month before publishing]

Frequently asked questions

What is the median house price in Thirroul?

The median house price in Thirroul was $1,825,000 over the 12 months to August 2026, up 3.8% from 87 sales. Houses took a median of 27 days to sell.

Are Bulli house prices going up?

Yes. Bulli's median house price rose 9.9% to $1,800,000 over the 12 months to August 2026, from 70 sales, with three-bedroom houses up 15.8%.

How long do houses take to sell in Austinmer?

Austinmer houses took a median of 45 days to sell over the 12 months to August 2026, nearly double Woonona's 24 days. That gives buyers more time and more room to negotiate.

Is Woonona cheaper than Thirroul?

Yes. Woonona's median house price of $1,457,500 is $367,500 below Thirroul's $1,825,000, although Woonona grew faster over the year at 9.1% compared with 3.8%.

What is the rental vacancy rate in the Northern Illawarra?

House vacancy ranges from 0.4% in Woonona to 1.4% in Austinmer, with Bulli at 0.7%, Thirroul at 1.1% and Coledale at 1.2%. All five are well under the 2% to 3% usually seen as a balanced rental market.

For the full picture on each suburb, see our guides to Thirroul, Bulli, Austinmer, Woonona and Coledale.

Buying in the Northern Illawarra and want to know whether a specific property is priced right? Book a free 15-minute call with Joel at The Shoreline Agency, and we will run the numbers on it for you.

Source: Stash Property, derived from publicly available listing data for the 12 months from 1 September 2025 to 31 August 2026. Listing and rental stock counts are for August 2026. Coledale (24 house sales) is a small sample, and medians in smaller suburbs can move sharply on a handful of results. This article is general information only and does not take into account your personal circumstances. The Shoreline Agency acts exclusively for buyers.