If you're looking to invest in real estate, the best suburbs for property investors North Shore Sydney are the ones offering strong capital growth, high rental yields, and solid long-term potential. The North Shore is home to some of Sydney’s most sought-after suburbs, combining lifestyle appeal with investor-friendly fundamentals.

But which areas are really delivering in 2025?

In this guide, we’ll take a look at the top-performing suburbs, backed by the latest data, so you can make informed investment decisions with confidence.

Why Property Investors Are Eyeing the North Shore

North Shore suburbs offer excellent schools, green spaces, reliable public transport and proximity to the Sydney CBD. These factors create consistent rental demand and rising property values. According to the ABS, population growth in North Sydney and surrounding LGAs continues to rise, with the

North Shore expected to grow by 23% by 2041. That means more renters, more buyers—and more potential returns for you.

1. Chatswood: Strong Rental Yields and Infrastructure Growth

Chatswood continues to stand out for its high rental demand, excellent amenities and transport connections. Investors like Chatswood because it offers consistent rental returns and capital growth without the ultra-premium price tag of suburbs like Mosman.

• Vacancy rates are below 1% as of September 2025 (SQM Research), indicating strong tenant competition.
• Median unit prices sit around $950,000, making it more affordable than neighbouring suburbs.
• Future-proofing is strong, with the Metro extension and ongoing infrastructure upgrades.

2. St Leonards: Medical and Tech Employment Hub

St Leonards is becoming one of the best suburbs for property investors North Shore Sydney due to its proximity to the health and tech employment zones. Units near the station are a top choice for investors focused on professional tenants.

• Home to the $1.3 billion Royal North Shore Hospital precinct.
• Vacancy rates are low at just 1.2% (SQM Research).
• Strong demand from young professionals and medical workers ensures a stable tenant base.
  
  
  

3. Lane Cove: Family Appeal with Capital Growth Potential

Lane Cove attracts long-term renters due to its schools, parks and family-friendly lifestyle. It’s one of the more balanced investments—strong fundamentals, good tenants, and room for future capital growth.

• House prices have grown over 6.2% year-on-year, according to 2025 figures from National Property Group.
• Rental yields for units sit around 3.9%, offering balance between yield and growth.
• Easy access to Sydney CBD via Epping Road and express buses.
  
  

4. Crows Nest: Metro Boom and Dining Destination

Crows Nest is benefitting from a major uplift thanks to the new Metro station due to open in 2025. The suburb is transforming fast, and savvy investors are moving in ahead of the price curve.

• Infrastructure drives growth—expect strong price and rental increases post-opening.
• Popular with young professionals, couples, and empty nesters.
• Vacancy rates are low, while proximity to both North Sydney and the CBD adds ongoing appeal.
  
  

5. Artarmon: Underrated and Ready to Rise

Artarmon is often overlooked—but that’s exactly what makes it a strategic investment. Artarmon is quietly climbing, making it a sleeper pick for yield-focused investors.

• Excellent transport (one stop to Chatswood or St Leonards).
• Strong rental appeal to hospital staff and Macquarie Uni students.
• Median unit prices remain under $850,000, offering value buying in 2025.
  
  

6. North Sydney: Premium Location with Solid Returns

North Sydney offers high-quality tenants, A-grade infrastructure, and rising demand. Investing here gives you a premium address with consistent rental income.

• Vacancy rates have dropped below 1.3% (SQM Research).
• Corporate rental demand remains high, especially for executive apartments.
• Recent ABS data shows rising population growth and business activity in the area.
  
  

7. Neutral Bay: Lifestyle and Location Drive Demand

Neutral Bay combines harbour views with buzzing cafes and short CBD access. If you’re looking for lifestyle-based investment with strong returns, this suburb ticks the box.

• Popular with high-income professionals and downsizers.
• Property values have grown 5.8% year-on-year.
• Rental vacancy rates are very tight, sitting below 1%.
  
  

Key Factors to Consider Before Investing

Before jumping in, think about:

• Rental yield vs. capital growth: Are you in it for cash flow or long-term value?
• Vacancy rates: Anything under 2% is a strong market.
• Proximity to transport and schools: Tenants care about convenience.
• Strata and council costs: These can impact net returns significantly.
  
  
  

FAQs

What are the most affordable suburbs on the North Shore for investors in 2025?
Artarmon and Lane Cove offer lower entry prices compared to premium areas like Mosman or Neutral Bay.

Which North Shore suburbs have the highest rental yields?
Chatswood and St Leonards are performing strongly, both with yields above 4% in some unit segments.

Is now a good time to invest in North Shore Sydney property?
Yes. Low vacancy rates and continued infrastructure growth make 2025 a favourable year.

How do I decide between capital growth and rental yield?
It depends on your strategy, growth suits long-term planning, while yield helps with cash flow.

What’s driving North Shore property prices in 2025?
Infrastructure projects, population growth, and lifestyle demand are all key drivers.

How do I find positively geared properties on the North Shore?
Focus on high-yield suburbs with low strata fees and strong rental demand, like Chatswood and Artarmon.

Can I get help finding the right investment suburb?
Yes, we can help you with tailored advice based on your goals and budget.

Final Thoughts: Where Should You Invest in 2025?

Choosing the best suburbs for property investors North Shore Sydney means balancing lifestyle demand, growth potential, and current data. Suburbs like Chatswood, Lane Cove, and Crows Nest are ticking all the right boxes this year—low vacancy rates, high rental interest, and ongoing infrastructure upgrades.

At Sabea Financial, we help families like yours navigate the finance process - from pre-approval to settlement. Whether you’re upgrading, downsizing, or buying your very first home, we’re here to make it simple and stress-free.

📞 Call us on 1300 001 755
Or email us on info@sabea.com.au

Let’s help you find the perfect suburb - and the right loan to make it happen.