Aus Investment Properties Quarterly Report (March 2025)

Aus Investment Properties Quarterly Report (March 2025)


Australian Turn-Key Investment Property Building Costs Per Square Metre

Welcome to the March 2025 edition of the Aus Investment Properties Quarterly Report. This quarterly analysis continues our mission of delivering valuable insights into the costs associated with turn-key investment properties across Australia. In this edition, we focus on construction costs per square metre for various property types, and how they have evolved in the past 12 months.

Our findings are based on thousands of new build listings published on www.ausinvestmentproperties.com.au, covering every Australian state and territory. All construction costs refer specifically to turn-key investment properties, meaning homes that are fully complete and ready to rent upon handover. These typically include features like window furnishings, landscaping, driveways, fencing, clotheslines and letterboxes, unlike standard builds.


How This Report Was Compiled

For this March 2025 edition, we analysed build and land cost data from thousands of turn-key properties across Australia, comparing them with figures from our March 2024 report. This report includes national, state-by-state, and metro vs regional comparisons.

Australia-Wide Construction Cost Trends

Average Build Cost Per Square Metre by Property Type (March 2025):

- Co-Living: $2,270.33 m²
- Display: $285.72 m²
- Dual Key: $2,479.38 m²
- Dual Occupancy: $2,679.02 m²
- Duplex: $2,592.02 m²
- House and Land: $2,221.92 m²
- Rooming House: $2,693.65 m²
- SDA: $2,864.03 m²
- Terrace/Villas: $2,451.50 m²
- Town House/Unit: $2,280.76 m²

Key Comparison to March 2024:

- SDA Increased from $2,805.04 to $2,864.03 per m²
- House and Land: Slightly down from $2,227.28 to $2,221.92 per m²
- Dual Occupancy: Up from $2,492.10 to $2,679.02 per m²
- Dual Key: Slight increase from $2,234.57 to $2,479.38 per m²

The data suggests a consistent upward trend in build prices across most property types, continuing the inflationary momentum of 2024.

State-by-State Construction Cost Averages (March 2025)

Selected highlights:

New South Wales (NSW)
- Dual Key: $2,565.35 per m² (Up from $2,234.57)
- Dual Occupancy: $2,753.32 per m² (Up from $2,616.57)
- Duplex: $2,601.19 per m² (Up from $2,393.37)
- SDA: $3,082.55 per m² (Down from $3,299.03)

Queensland (QLD)
- Dual Key: $2,284.90 per m² (Up slightly)
- Dual Occupancy: $2,510.28 per m² (Up from $2,373.14)
- SDA: $2,905.17 per m² (Up from $2,836.98)

Victoria (VIC)
- Dual Key: $1,982.41 per m² (Up slightly from $1,881.13)
- House and Land: $2,330.72 per m² (Up from $2,232.29)
- SDA: $2,773.90 per m² (Up from $2,686.31)

These increases reflect ongoing labour and material cost pressures and more premium inclusions being offered in newer developments.

Metro vs Regional Trends

Metro Areas (Australia-wide)

- Dual Key: $2,072.11 per m²
- Dual Occupancy: $2,307.17 per m²
- SDA: $2,892.88 per m²

Regional Areas (Australia-wide)
- Dual Key: $2,926.81 per m²
- Dual Occupancy: $2,814.62 per m²
- SDA: $2,807.45 per m²

Interestingly, regional builds are slightly more expensive for many property types, due in part to logistics, material delivery costs and workforce availability.

Forecast for 2025

Based on Q1 2025 data, we expect build costs to continue rising moderately throughout the year, particularly in regions outside major cities. Increasing demand for rooming house & co-living formats, and dual income strategies will likely push those categories upward. Metro areas may stabilise in the second half of 2025 as supply constraints ease.

Conclusion

Construction costs for turn-key investment properties in Australia are trending upward across most property types and regions. Aus Investment Properties.com.au remains committed to tracking and reporting on these trends to support investor decision-making with timely, reliable data.

For more information and to explore our current portfolio, please visit: 
www.ausinvestmentproperties.com.au

Disclaimer: This report is based on available data as of March 2025. All figures are average estimates and should be used for general guidance only. Investors are encouraged to conduct their own due diligence before making investment decisions.

Photo: Opollo Photography via Unsplash | © Aus Investment Properties