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Herne Hill vs Sugarloaf Creek

Property investment comparison - Herne Hill, VIC 3218 vs Sugarloaf Creek, VIC 3659

Head-to-head across core investment metrics: Herne Hill wins 0, Sugarloaf Creek wins 3. The better choice depends on whether you're optimising for cash flow, growth, affordability, or liquidity, the table below highlights the winner on each metric.

MetricHerne HillSugarloaf Creek
Median house price$800K$795K
Median unit price$400K-
Gross rental yield (houses)3.57%3.92%
Gross rental yield (units)4.90%-
1-year house growth+3.2%-
3-year house growth+12.1%-
Vacancy rate2.1%2.0%
Population3,507255

Herne Hill vs Sugarloaf Creek: what the numbers say

The median house price is $800K in Herne Hill and $795K in Sugarloaf Creek, so Sugarloaf Creek is the cheaper entry point, with Herne Hill houses about 1% dearer.

On cash flow, Sugarloaf Creek leads: houses there return a gross rental yield of 3.92%, compared with 3.57% in Herne Hill, a gap of 0.35 percentage points.

Rental vacancy is the same in both, at 2.1%.

Herne Hill is the bigger suburb, with a population of 3,507 against 255, roughly 14 times the size of Sugarloaf Creek; a larger suburb usually means a deeper pool of buyers and tenants.

In short: Sugarloaf Creek for rental income, Sugarloaf Creek for a lower purchase price. Which matters more depends on whether the investor is buying for cash flow, capital growth or affordability.

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