Katoomba
A 16.9% vacancy rate, roughly 6 times the national benchmark, defines Katoomba's housing market, driven by a Blue Mountains tourism economy where many dwellings serve as holiday lets rather than permanent residences. The median age of 48 sits 8 years above national, and full-time employment at 50.2% is among the lowest in the region, with part-time workers (1,517) nearly matching full-time (1,531). Despite household income at only the 23rd percentile, university attainment at 41.1% runs 11 pp above national, creating an educated-but-modestly-earning population typical of creative and lifestyle-driven mountain communities.
Population
8,268
Median Age
48.0
Household IncomeiMedian weekly household income (ABS Census)
$1,171/wk
DAs (12 months)iDevelopment Applications lodged in the past year
109
Median House
$835K
2024-2025 (PSI derived)
The median house price of $852,500 rose 6.6% from $800,000 in 12 months. Detached houses dominate at 82.5%, with apartments at 11.0% and semi-detached just 5.7%. Three-bedroom homes (42.8%) are most common, with 21.4% at 4+ bedrooms. Mortgage stress at 31.6% exceeds the 30% threshold, because household income sits at just the 23rd percentile nationally. The $1,600/month mortgage payment is moderate in absolute terms, but relative to income it is stretched. The 16.9% vacancy rate means buyers must distinguish between occupied family homes and properties with holiday-let history that may carry different maintenance profiles.
For Buyers
The median house price of $852,500 rose 6.6% from $800,000 in 12 months. Detached houses dominate at 82.5%, with apartments at 11.0% and semi-detached just 5.7%. Three-bedroom homes (42.8%) are most common, with 21.4% at 4+ bedrooms. Mortgage stress at 31.6% exceeds the 30% threshold, because household income sits at just the 23rd percentile nationally. The $1,600/month mortgage payment is moderate in absolute terms, but relative to income it is stretched. The 16.9% vacancy rate means buyers must distinguish between occupied family homes and properties with holiday-let history that may carry different maintenance profiles.
For Investors
The 16.9% vacancy rate is the highest in this cohort, but much of it is short-term rental stock, not structural oversupply. Rent at $350/week on an $852,500 median gives a gross yield around 2.1%. The 34.5% renter share provides a solid long-term tenant pool. Population growth is nearly flat at 0.05% annually (7 people/year), so demand-side tightening is unlikely. However, 102 DAs were lodged in 12 months (including new dwellings and retail), suggesting ongoing construction activity. Rent grew 52.0% over the decade, outstripping income growth (13.3%), which could cap further rent increases.
Development Activity
Total DAs
534
Last 12 Months
109
YoY ChangeiYear-over-year change in DA lodgements
+9.0%
Avg DA CostiAverage estimated cost per DA in the past year
N/A
Monthly DA Lodgements
DA Categories
Schools in Katoomba iICSEA: school advantage index. 1000 = national avg, higher = more advantaged
Katoomba Public School
K-6 · 210 students
Katoomba High School
7-12 · 862 students
St Canice's Primary School
K-6 · 67 students
Katoomba North Public School
K-6 · 128 students
Demographics
English ancestry leads at 3,474, with Irish (1,452), Scottish (1,147), and German (497) forming a strongly Anglo-leaning and European heritage community. Overseas-born at 23.4% is only 1.8 pp above national. Non-English language diversity is minimal: Mandarin (26), German (22), French (18), and Italian (18) are all tiny counts. Median age of 48 is 8 years above national, and the senior share grew 7.9 pp over the decade, the largest age-shift figure in this cohort. Buddhism (253 adherents) is the second-largest religion after Christianity (2,525), reflecting the Blue Mountains' alternative-lifestyle community.
Age Distribution
Bedrooms
Dwelling Structure
82.5%
Houses
5.7%
Townhouse
11.0%
Apartment
Tenure
Prices rose from $800,000 to $852,500 between 2024 and 2025 (+6.6%). Ownership splits: 36.2% outright, 29.3% mortgage, 34.5% renting. The relatively high outright ownership (36.2%) reflects the older population who purchased decades ago. Detached houses at 82.5% dominate, with a small apartment share (11.0%). Bedrooms spread across 8.0% studio/1-bed, 27.8% 2-bed, 42.8% 3-bed, and 21.4% 4+. Affordability has worsened: mortgage-to-income moved from 50.7% to 55.3% between 2011 and 2021, opposite to the improving trend seen in most NSW suburbs. Average household size of 2.1 is below national, consistent with the older, smaller households.
Median House Price Trend
Source: State Valuer-General
Mortgage / mo
$1,600
Rent / wk
$350
HH Size
2.1
Personal Income / wk
$649
Vacancy Ratei% of dwellings unoccupied on Census night (ABS 2021)
16.9%
Unoccupied
763
Rent / IncomeiMedian rent as % of household income. Over 30% = housing stress
29.9%
Mortgage / IncomeiMedian mortgage as % of household income. Over 30% = housing stress
31.6% stressed
Community Profile
Languages Spoken at Home
Ancestry
Household Composition
34.3%
Couples, no children
5,566
Total families
Economy & Employment
Healthcare (21.7%) and Education (15.1%) together account for 36.8% of jobs, reflecting the public-sector dependence typical of mountain communities. Hospitality (9.2%) is the third-largest sector, higher than most non-tourism suburbs. Professional/Tech (9.1%) and Public Admin (9.0%) round out the top 5. Full-time employment at 50.2% is low, with part-time (1,517) nearly matching full-time (1,531), a pattern consistent with seasonal and creative economies. Unemployment at 7.0% exceeds the national rate. SEIFA IEO decile 8 (strong education) but IER decile 3 (weak resources) confirms the educated-but-modest-income paradox.
Unemployment
4.3%
Labour Force
6,666
Unemployed
284
Quarterly Trend
Source: SALM Dec-25
Socio-Economic Indexes (SEIFA)iABS index ranking suburbs from 1 (most disadvantaged) to 10 (most advantaged)
Full-time
50.2%
Part-time
42.8%
Participation
45.9%
Employed
3,048
Occupations
Top Industries
University
41.1%
Postgraduate
13.1%
Born Overseas
23.4%
Dwellings
3,729
Transport to Work
Public transport captures 2.9% of commuters (mostly Blue Mountains train line), and 78.3% drive. Walking/cycling at 13.4% is the highest in this cohort, reflecting the town's walkable main street and bushwalking culture. Katoomba has 4 schools: Katoomba Public (ICSEA 1035, 210 students), Katoomba High (ICSEA 1034, 862 students), St Canice's Primary (Catholic, ICSEA 1020, 67 students), and Katoomba North Public (ICSEA 986, 128 students). Three of 4 score above the 1000 benchmark. Volunteering at 19.7% is well above the national average. SEIFA IRSAD decile 6 indicates moderate advantage.
Drive
78.3%
Public Transport
2.9%
Walk / Cycle
13.4%
Work from Home
N/A
Population Forecast
+0.05%/yr
(+7 people/yr)
EstablishedPopulation growth is essentially flat at 0.05% annually (7 people/year). Medium forecasts project 13,555 by 2031, barely up from 13,569 in 2025. Net overseas migration at +186/year is offset by internal outflows of -94/year. The 10-year growth rate of 3.3% is among the slowest in the Blue Mountains region. The senior share grew 7.9 pp, the steepest aging in this cohort, while the young share dropped 3.4 pp and working-age fell 3.5 pp. Real income growth of 13.3% was modest. The gentrification score sits at 0, confirming demographic stability rather than transition.
Historical + Forecast
Hamilton-Perry + Holt smoothing on ERP 2001-2025
Age Cohort Forecast
Primary Driver
Overseas Migration
Net Overseas / yr
+186
Net Internal / yr
-94
Gentrification Signal
Not gentrifying
National Ranking iPercentile rank among ~15,000 AU suburbs. 90% = higher than 90% of suburbs
How Katoomba compares to ~15,000 Australian suburbs
Frequently Asked Questions
Is Katoomba a good suburb to live in?
Katoomba scores SEIFA IRSAD decile 6 with 3 of 4 schools above the ICSEA 1000 benchmark. Walking/cycling at 13.4% is exceptionally high, and volunteering at 19.7% signals strong community. The trade-offs are low household income (23rd percentile), mortgage stress at 31.6%, and 16.9% vacancy reflecting a tourism-heavy economy.
What is the median house price in Katoomba?
The median house price is $852,500 as of 2025, up 6.6% from $800,000 the previous year. Detached houses account for 82.5% of stock. Mortgage repayments average $1,600/month, consuming 31.6% of household income, just above the 30% stress threshold.
What schools are in Katoomba?
Katoomba has 4 schools: Katoomba Public (ICSEA 1035, 210 students), Katoomba High (ICSEA 1034, 862 students), St Canice's Primary (Catholic, ICSEA 1020, 67 students), and Katoomba North Public (ICSEA 986, 128 students). Three score above the national benchmark of 1000.
Is Katoomba safe?
Crime data is not reported at the suburb level for Katoomba. SEIFA IRSD decile 5 indicates moderate disadvantage. The 7.0% unemployment rate is above the national average. The 16.9% vacancy rate and tourism economy can attract opportunistic property crime, though the 19.7% volunteering rate suggests active community oversight.
Is Katoomba good for property investment?
Gross yield is roughly 2.1% ($350/week on $852,500), below the national average. Vacancy at 16.9% is extreme, though much is holiday-let stock rather than permanent vacancies. Population growth at 0.05% annually provides minimal demand-side support. The 102 DAs in 12 months suggest ongoing supply additions.
How is Katoomba's population changing?
Population is essentially flat, growing 0.05% annually (7 people/year) to 13,569 in 2025. The senior share surged 7.9 pp over the decade, the steepest aging in this cohort. Net overseas migration at +186/year is partially offset by internal outflows of -94/year. Forecasts project 13,555 by 2031.
How much development is happening in Katoomba?
Katoomba lodged 102 DAs in the past 12 months, including new dwellings, retail premises, and carport constructions. This high activity contrasts with the near-flat population growth (0.05% annually), suggesting much of the development is renovation or tourism-related rather than net new residential supply.
How to read these comparisons
Phrases like "above the national average" reference the unweighted median across Australian suburbs with more than 1,000 residents, not population-weighted national figures. Suburb-level medians are more useful for ranking suburbs against each other; ABS census headlines are population-weighted (so dominated by Sydney and Melbourne) and can read very differently.
Current baseline (refreshed 2026-05-10): median age 40, university-educated 30.1%, born overseas 21.6%, average household size 2.5 people.
Data sources: ABS 2021 Census (demographics, income, tenure), state Valuer-General (house prices), Department of Jobs SALM (unemployment), ACARA (school ICSEA), state Crime Statistics agencies (offences), council DA portals (development applications). Population forecasts use a Hamilton-Perry cohort model calibrated to ABS ERP.
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