For New Investors

The Mudgee Region is a great place to consider investing. For the investor, the Region offers a stable economic and business environment based around the growth of the mining industry and the economic diversity of the Region.

Aerial View of Mudgee

Land Availability
There is a good supply of adequately zoned land available in the Mudgee Region for residential, business and investment purposes.

Vacant residential land sites start from around $115,000 for a 1,000 square metre block in Mudgee and around $275,000 for lifestyle acre blocks on the outskirts of town. Residential sites in Gulgong, Kandos and Rylstone are slightly lower in the range of $40,000 to $60,000 for 1,000 square metre blocks.

Industrial land prices are significantly lower than in metropolitan areas and therefore, the Region offers opportunities for businesses to buy land for expansion without the huge outlays. Prices for industrial land vary depending on the exact size, location and site specifications, but generally average around $95 to $100 per square metre.

Housing Market
The residential housing market has experienced significant growth in the last 12 to 18 months across all of the major towns. Long term trends suggest capital growth across the Region of 6 percent to 8 percent, which is not only higher than other regional centres but consistent with some metropolitan regions. According to Domain, the median house price in the Region was $302,000 for the 12 month period ending April 2012.

Glen Ayr, one of Mudgee’s newer residential subdivisions, is considered one of regional NSW’s best performing suburbs. In 2010 it was the second fastest growing suburb behind Queanbeyan. In 2011 it outperformed all other contenders to take the number 1 spot with annual growth of 18.8 percent, according to Residex (based on a median price of $398,000 in March 2011 compared to $338,500 in March 2010). In the same report, Kandos was ranked number 6 with a median price of $146,000 in March 2011 (compared to $126,000 in March 2010), representing 16.2 percent annual growth.

The significant growth in the property market is driven largely by the expansion of mining activities in the Region as well as other new developments. The increased number of new residents to town to take up mining positions and increase in short term contractors is placing significant demands on the availability of rental accommodation in the Region.

Provided below and opposite is a snapshot of housing data for each of the major towns in the Region.

Gulgong: house prices increased 9.9 percent in the last 12 months, median price $225,250.

Gulgong Median House Prices 2006-2010

Year Median Price 12 Month Growth
2006 $197,000 3.9%
2007 $227,500 15.2%
2008 $230,000 1.1%
2009 $205,000 -10.9%
2010 $225,250 9.9%


Kandos: house prices increased 20.9 percent in the last 12 months, median price $130,000.

Kandos Median House Prices 2006-2010

Year Median Price 12 Month Growth
2006 $90,000 -16.39%
2007 $120,000 33.3%
2008 $120,000 0.0%
2009 $107,500 -10.4%
2010 $130,000 20.9%


Mudgee: house prices increased 12.5 percent in the last 12 months, median price $315,000.

Mudgee Median House Prices 2006-2010

Year Median Price 12 Month Growth
2006 $280,000 7.7%
2007 $290,250 3.7%
2008 $275,000 -5.3%
2009 $280,000 1.8%
2010 $315,000 12.5%


Rylstone: house prices increased 17.8 percent in the last 12 months, median price $268,000.

Rylstone Median House Prices 2006-2010

Year Median Price 12 Month Growth
2006 $185,000 -24.5%
2007 $192,250 3.9%
2008 $167,500 -12.9%
2009 $227,500 35.8%
2010 $268,000 17.8%


Rental Market
Weekly rental rates in the Mudgee Region were on the rise in the last 12 months with 20 percent rental growth in Gulgong, 9.4 percent in Mudgee and 5.9 percent in Kandos. Average gross rental yields across the Region are within the 5 percent to 6 percent range.

The following table provides median weekly rents and gross rental yields for the major towns in the Region as at December 2010.

Median Weekly Rent

  Median Weekly Rent Rental Yield
Gulgong $240 5.9%
Kandos $180 7.4%
Mudgee $290 5.1%

Source: RP Data

As discussed above, the increase in new residents to the Region and increase in the number of short term contractors to the mines has been one of the major factors behind the strong demand for rental accommodation in the Region.

Choose Mudgee Region

Regional Snapshot

The Mudgee Region is located just over 3 hours from Sydney in Central West NSW. It has a dynamic and friendly community and a strong and diverse economic base, providing opportunities for future business development and growth. The Region also attracts almost 500,000 visitors each year to experience local wine, food, sporting and cultural events.

Population: 23,000

Area: 9,000 sq km

Major towns and centres
• Mudgee
• Gulgong
• Kandos
• Rylstone

Major industries
• Agriculture
• Mining
• Tourism
• Viticulture

Competitive advantages
• Diverse and growing economic base
• Centrally located to Sydney and Newcastle and major regional centres in NSW
• Strong transport links – daily air and coach services
• Skilled workforce
• Strong business services sector
• Great lifestyle benefits
• Thriving tourism, arts and cultural sectors
• Adequate water supply