FairSquare/New South Wales/Paddington
Suburb Dossier · NSW · 2021

Paddington

FairSquare analyses every Australian suburb for property investors — score, yield, risk and a full investment verdict.

FairSquare's model rates Paddington, New South Wales 6.9 out of 10 (Workhorse Investment) as of May 2026.

Paddington, situated just three kilometres from the Sydney Central Business District, offers a workhorse investment proposition, driven by exceptionally tight supply and robust demand from high-income tenants, evidenced by a critical 1.2 percent vacancy rate. Despite a modest gross yield of 2.8 percent, the suburb has delivered strong nine percent annual price growth, underpinned by its irreplaceable heritage housing stock. Constrained supply means downward price pressure is structurally limited.

Model Verdict
Workhorse Investment
6.9OUT OF 10
Median
$3.03M
house
Gross Yield
2.8%
derived
Weekly Rent
$1632
3-bed median
12m Growth
+9.0%
trailing
Secret Sauce · Derivation

How the model valued Paddington

The median price is derived, not estimated. Every number on this page traces back to the model's proprietary yield surface — calibrated for each part of the country and resolved against distance from CBD. The price falls out of the formula.

Confidencehigh

Inputs for this suburb sit at the top of our calibration tier. The model is not guessing.

Distance
to CBD
3km
Yield
derived from model
2.8%
Median Rent
weekly, 3-bed
$1632
Median Price
(rent × 52) ÷ yield
$3.03M
Fit · Who It Suits
Investor Profiles
Defensive Hold
Model Tags
Supply Constrained
Signals · Partial View
Market Temp
Warming
Supply Pressure
Low
Rent Trajectory
In line
Cycle Position
Hot ·
Days On Market
Cool
Clearance Rate
Active ·
Buyer Demand
Hot
Vacancy Rate
Cool ·
Rent Growth 12m
Active
Price Volatility
Hot ·
5-Year Forecast
Cool
Risk Flags
Active ·

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What's inside
01Cover page with verdict & score
02In-30-seconds snapshot
03Score breakdown across 5 dimensions
04Big picture & liveability analysis
05Market cycle + 10-year forecast
06Rental story + yield scenarios
07Supply & demand pressure gauge
08Opportunity & risk register
093-play investor playbook
1012-24mo + 3-5yr outlook
112026 Budget impact analysis
Nearby · NSW
0.9km away
Darlinghurst
Workhorse Investment
$4.23M2.0%+12.0%
1.0km away
Centennial Park
Workhorse Investment
$4.04M2.1%+10.0%
1.1km away
Rushcutters Bay
Workhorse Investment
$3.54M2.4%+10.0%
1.2km away
Edgecliff
Workhorse Investment
$4.67M1.8%+9.5%
FAQ
01

Is Paddington a good investment in 2026?

FairSquare's model rates Paddington, New South Wales 6.9 out of 10 (Workhorse Investment) as of May 2026. Paddington, situated just three kilometres from the Sydney Central Business District, offers a workhorse investment proposition, driven by exceptionally tight supply and robust demand from high-income tenants, evidenced by a critical 1.2 percent vacancy rate. Despite a modest gross yield of 2.8 percent, the suburb has delivered strong nine percent annual price growth, underpinned by its irreplaceable heritage housing stock.

02

What is the median house price in Paddington?

The median house price in Paddington, NSW is $3.03M. Weekly rent of $1632 against a 2.8% gross yield underpins this figure.

03

What is the rental yield in Paddington?

Paddington has a gross rental yield of 2.8%, with a median weekly rent of $1632. 12-month price growth is tracking at +9.0%.

04

Which investor profiles does Paddington suit?

Based on its market signals, Paddington aligns with: Defensive Hold.

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