People often ask us where to buy property in Newcastle and while we can give guidance and opinion, we can’t guarantee returns.

If you’re looking at the local property market and wondering where to invest in 2026, here are some of the key factors we’ve spotted that could drive property growth this year and beyond.

2025 data for Newcastle property

Before we look forward, we should look back first. Although past performance doesn’t guarantee anything, it does give a good picture of how the market has been performing.

Last year, Newcastle’s best performing suburbs (by percentage growth) were:

1. Mayfield East (up 23.53% over 2025)
2. Wickham (up 18.50%)
3. North Lambton (up 17.41%)

In comparison, these were Newcastle’s worst performing suburbs:

1. Minmi (down 34.88% over 2025)
2. Carrington (down 5.71%)
3. Mayfield West (down 5.36%)

(All data from realestate.com.au)

Major plans for Newcastle’s infrastructure for 2026 (and beyond)

It’s demand that drives up prices, so when local, state and federal governments invest money into an area’s infrastructure, it makes Newcastle (and some of its suburbs in particular) more desirable. As people look to move to the area, it creates competition and favourable conditions for sellers.

So what’s happening in the near future that could drive this demand?

Broadmeadow Place Strategy

Around 313 hectares of land in and around Broadmeadow have been earmarked by the council for major redevelopment. The plan includes 20,000 new homes (Broadmeadow currently has 744 homes), 15,000 jobs, a world class sports precinct and a transport and shopping hub.

The plan will take years to be fulfilled, starting with a new town centre and then moving onto the sports precinct before eventually spreading out towards Hamilton North. As this area becomes bigger and more desirable, homes in and near Broadmeadow (eg Georgetown, Waratah) are likely to be in high demand.

Zoning changes

Some suburbs have benefitted from relaxed zoning rules that have allowed for increased buildings heights. Adamstown, for example, has seen a number of six-storey apartment blocks spring up on Brunker Road.

These height rules (up to 22m) are being expanded across the city, with The Junction, Mayfield and Waratah next on the list.

Airport development

Major investment in Newcastle Airport will help ease the strain on Sydney’s terminals as people in the Hunter have easier access to cities like Hobart and Perth. Last year we saw the first direct flight to Bali from Newcastle, with the return of direct flights to Auckland on the horizon. A direct route to Singapore, which would then open up connecting flights to Europe and the rest of Asia, has also been suggested.

Having an airport with such great travel links makes Newcastle a much more desirable option, which should have an impact on prices all across the city.

John Hunter expansion

Although not on the same scale as the airport expansion, the huge developments at the John only go to strengthen the area’s repupation.

The demand for more medical professionals will also see more skilled workers move to the area, and property near the hospital (like in the Lambton Area, Rankin Park and Elermore Vale) is going to go up in price.

The new bypass behind the hospital should improve the traffic on Lookout Road, making the area even better to live in.

M1 extension and other roadwords

Bigger cities and suburbs need better roads. And although the M1 extension doesn’t directly touch Newcastle, it does improve driving conditions nearby.

The new bridge (and a few interchanges) mean the drive from Sydney (and Newy) up the coast towards Brisbane gets a lot easier. Turning off at Tarro, drivers no longer need to go through the busy Hexham interchange.

Other roadworks, like the new road from New Lambton Heights to Jesmond cut the drive from Lake Macquarie and Raymond Terrace, too.

Buying investment property in Newcastle in 2026

If you’re looking to buy an investment property in Newcastle this year, looking at the proposed building works in the area might give an idea of where future demand will be.

For more advice on property in Newcastle or getting your finances in order for your big purchase, get in touch with our team of mortgage brokers.