Annandale vs Davidson

Houses cost about the same in both suburbs: the median house price is $2.4M in Annandale and $2.4M in Davidson.

For units, Annandale sits at a median of $950K against $630K in Davidson, which makes Davidson the more affordable unit market and Annandale the pricier one.

On cash flow, Davidson leads: houses there return a gross rental yield of 3.50%, compared with 2.42% in Annandale, a gap of 1.08 percentage points.

Over the past year house prices moved +3.6% in Annandale and +2.4% in Davidson, so recent momentum favours Annandale, although both suburbs recorded growth.

Looking back three years, Annandale houses are +0.7% and Davidson houses +4.3%, so Davidson has compounded faster than Annandale over the longer window.

Rental vacancy is 1.9% in Annandale and 3.9% in Davidson, so landlords in Annandale face less competition for tenants. Anything under 2% is generally read as a tight market where tenants compete for homes.

Annandale is the bigger suburb, with a population of 9,487 against 2,725, roughly 3.5 times the size of Davidson; a larger suburb usually means a deeper pool of buyers and tenants.

In short: Davidson for rental income, Annandale for recent price momentum, Annandale for the tighter rental market. Which matters more depends on whether the investor is buying for cash flow, capital growth or affordability.