February 2026 Market update
Dapto and Port Kembla continued to lead the way for price growth for the region, in another month in which the local market added 0.5 per cent to the average home in the Illawarra. The average dwelling across the Illawarra is now $1,065,229.
Digging a little deeper into the latest results by Cotality, Dapto and Port Kembla put on 1.1 per cent while the Wollongong area was up by 0.2 per cent. Gerard Burg, head of research Australia at Cotality told View that the strong performance was an indication that home buyers were searching for value at the more affordable end of the market.
“We’re talking a sizeable gap in the median value between the two (Dapto and Port Kembla versus Wollongong), so it really comes down to more competition for the lower-valued properties… We’re seeing right across the country that people are looking for affordability,” Burg said.
Prices in Sydney were flat in February, a sign that the flow on of higher interest rates were starting to make homebuyers more cautious about taking on greater levels of debt.
Downsize with Tim Bartlett
For the Illawarra’s property owners, downsizing the family home after age fifty-five can not only unlock a new lifestyle – it can represent a powerful financial reset, according to Tim Bartlett, Principal at Bartlett and Co. Property.
“Property prices across the region have risen significantly over the past two decades. As a result, homeowners who have built substantial equity can sell a larger home and purchase a smaller, more manageable property and unlock hundreds of thousands of dollars in the process,” he says.
That means that surplus can reduce debt, fund lifestyle goals such as travel, or strengthen long-term financial security. As a sweetener, the government allows over 55s who have owned their home for at least 10 years to contribute up to $300,000 per person into superannuation – outside the annual caps.
Tim says that downsizing can come with its own special challenges.
“If someone has lived in a home for half a century, there’s deep attachment there. They may not want to move, but they have to. You’re not just selling a property you’re helping them through an emotional transition,” he says.
Discover Towradgi
Towradgi, tucked between Fairy Meadow and Corrimal, just north of Wollongong, is one of the Illawarra’s most relaxed coastal pockets. It blends beachside living, family-friendly parks and easy access to the city, making it increasingly popular with young families, professionals and long-term locals alike.
Home to the iconic ‘Towradgi hump’ the suburb is much more. Whether it is seeing a live band, enjoying a meal or a lazy afternoon watching sport at the Towradgi Beach Hotel or the delicious Italian-style pizza at the Bowlo, the area represents beachside living at its best. But its outdoors really make Towradgi the place to be. Whether it is lazy laps at the rock pool, catching a wave at Towradgi beach or joining the morning joggers and extending your run north of the Blue Mile, this place is ideal for fitness enthusiasts.
In terms of real estate, Towradgi has huge numbers of post-war cottages that sit side by side with an abundance of modern townhouses or duplexes. The block sizes tend to be generous and with links to Sydney via Memorial Drive or Towradgi station, this place is popular with local professionals.
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